Premier Inn says that its Brixton hotel, due to open officially on 18 June, will generate 38 new year-round jobs.
Whitbread, the parent company of Premier Inn, said the site would represent a £6.9 million investment in the area.
The 89-bedroom hotel will have an “informal” Thyme Restaurant with breakfast and dinner menus.
It occupies the old Woolworths site with existing traders like H&M unaffected. The main entrance is on Coldharbour Lane with stairs and lifts to a lobby.
Lucy Walpole, operations manager for the hotel, said: “We are really excited to be welcoming guests to the buzz of Brixton and this new hotel will give them the best experience possible during their stay.”
Premier Inn is the UK’s largest hotel chain, running more than 700 across the country.
It won the best UK family hotel award from TripAdvisor this year.