Leicester City Council appointed Morgan Sindall Construction to replace its old bus station and create more attractive routes for pedestrians and cyclists in a city centre revamp.
The new bus station building will have glazed walls and a curved aluminium roof.
Passenger facilities will be improved and the number of bays will be increased from 18 to 24 to increase bus capacity.
The roof will be fitted with around 750 sqm of photovoltaic panels, which are expected to generate enough energy to power the new bus station and feed surplus green energy back into the grid, helping to make it a net carbon zero building.
The old building has been demolished – all that now remains is the partial steelwork frame that will be reused in the new construction.
Morgan Sindall is expected to complete construction of the new bus station building by summer 2022.
City mayor Peter Soulsby said: “The new St Margaret’s bus station is an important project for Leicester and the start of its construction marks the beginning of a revival of this part of the city.”