WORK on Liverpool’s next major regeneration scheme is set to get under way in a matter of weeks.

Developer Merepark revealed that work on the £160m Liverpool Central Village scheme should start in May.

The plan involves revamping the Lewis’s building, and constructing two new hotels, an apart-hotel, residential flats, and restaurants.

Shops, cafes, and four new public spaces – including a boardwalk with a spectacular water feature – will complete the mixed-use development.

The aim is to have the work completed by the end of 2011.

Managing director Richard Peel said the company was on the cusp of signing an agreement with Network Rail to free up the site which is focused around Liverpool’s Central Station.

He said the company had now raised £40m of private equity for the scheme from London-based wealth managers Smith and Williamson.

The rest of the funding for the project is coming from Merepark’s existing equity, and loans from Bank of Ireland, the Co-op Bank and Barclays.

Merepark is currently in discussions with the owners of Lewis’s ,Vergo Retail, over whether the shop will relocate during building work or stay put.

The historic store is due to have a revamped 100,000 sq ft of space in the new building.

The scheme has planning permission for all aspects apart from a 460-space car park that will be run by Q-Park, and an upgrade of part of Central Station.

Merepark director Richard Peel said the company was hoping to submit a planning application for a new mezzanine and entrance into Central Station very soon.