Sedgemoor District Council has appointed Willmott Dixon to build a seven-screen cinema, an eight-lane 10-pin bowling alley and a sports bar in Bridgwater town centre.
The 40,000 sq ft development, called Northgate Yard, has already secured Scott Cinemas and Allstars Bowling as anchor tenants.
There will also be space for four restaurant units, outdoor meeting space and improvements to the adjacent park, Brewery Field.
Willmott Dixon was procured through the Southern Construction Framework and is expected to finish the job in October 2022.
Area director Rob Woolcock said: “This is going to be a fantastic leisure and entertainment facility for the people of Bridgwater. We know the town has been eagerly waiting for this to happen and our team are looking forward to delivering it. We have worked closely with Sedgemoor District Council to ensure the project benefits the local community as much as possible, through working with a local supply chain and providing apprenticeships and training.”