The hotel, which is set to open its doors in August 2021, will feature 33 rooms, an all day restaurant, rooftop terrace and members club.
The chain’s “first ever city outpost” will be located at 37-39 St Andrew Square, originally home to the British Linen Company which later became the Bank of Scotland.
The hotel will also feature architectural features designed by architects and sculptors such as David Bryce and Alexander Handyside Ritchie.
It follows news last month that Gleneagles’ first hotel in Auchterarder will remain closed until February 2021 due to ongoing Covid restrictions in the area.
At the time a spokesperson for Glenegales said: “Having worked so hard to provide a safe environment across our estate, we are saddened by this development, but we’re committed to taking the additional measures necessary to protect the health and wellbeing of everyone at Gleneagles, and to play our part in minimising Covid-19 cases in the region.
“We look forward to reopening hotel guest facilities on Monday 1 February, subject to government regulations.”