Gleeson Building has won its first development project, a £16m hotel in Luton.

The scheme, which is part of a joint venture with Oxford Hotels, is the company’s first development win since its management buyout from former parent MJ Gleeson 18 months ago.

The project is part of a wider scheme that will involve 15 hotels over the next five years.

Gleeson Building will be responsible for the design and construction of the hotel, which will be known as the Hilton Garden Inn. The next two hotels are likely to be in Leeds and Manchester.

Martin Smout, Gleeson Building’s chief executive, said: “Hotels are a growth sector for Gleeson Building, which is matching the growing demand for good quality mid-range hotels to cater for the business traveller.”

The company launched its development business, based in Staffordshire, last year.

Gleeson Building has also been awarded a cluster of schools projects in Northumberland worth £26m.