A major regeneration project in the city of Stoke-on-Trent has taken a step forward after a planning application was submitted by Marrons.

The council-led two-phase Etruscan Square development – designed by Glancy Nicholls Architects and backed by £20 million from the government's Levelling Up Fund – will deliver 292 residential units, a hotel and a 3,600-capacity arena across 2.78 hectares in Hanley. The council secured £56 million for its We are Levelling Up Stoke-on-Trent Programme in 2021.

It is supported by a separate planning application for a 645-space multi-storey car park and mobility hub on the site of the former Meigh Street car park, designed by Potter Church & Holmes Architects

Sachin Parmar, planning director at Marrons – which submitted the application on behalf of design, engineering and management consultancy Arcadis – led the proposals, with support from partner Brian Mullin, senior planner Matthew Roe and planner Megan Simpson. The planning application was validated by the city council on Thursday, 12 January.

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Sachin said: "This exciting masterplan scheme has been designed to respond to existing urban grain by creating active streets that are pedestrianised, and where the arena is the striking landmark that will help to create a cultural-hub – bringing people together to enjoy events in the city.

"Etruscan Square realises the ambitions and opportunities at the heart of the city centre, and the mix of commercial uses and housing will create a desirable place to live and a destination to visit and stay. The development will act as a catalyst to drive forward growth and the inclusion of flexible commercial floor space can respond to rapid changes in the market where a diversification of uses is required to support the local economy.

"The masterplan scheme would rejuvenate the site where regeneration of previously-developed brownfield land within the heart of the city centre constitutes sustainable growth with substantial positive socio-economic impacts."

If approved, phase one of the development would bring 92 one-bed apartments, 44 two-bed apartments, and three four-bed townhouses, along with 632 sq m commercial, business and service space, and public realm works to previously-developed brownfield land. Phase two would see the creation of a 3,600-seater arena, 138-room hotel, 200-space underground car park, a commercial centre providing 5,620 sq m floor space and 153 residential units.

In its planning application to Stoke-on-Trent City Council, Marrons' socio-economics research found that the scheme would help create more than 1,000 full-time jobs throughout the five-year construction period, on completion and the indirect jobs created – injecting around £27 million into the local economy.