Joining D&D’s existing ventures at the Royal Exchange, Restaurant Sauterelle and Royal Exchange Grand Café, the space will serve 100 covers and offer food to take away.
It will be designed by D&D Royal Exchange staples Conran & Partners.
Des Gunewardena, chairman & chief executive of D&D London, said: “A snowy December may seem a strange time to be thinking about pavement cafes. But we are very excited about this project. We are planning to create something different but complimentary to the Royal Exchange Grand Café, which has been a big success for us.”
The acquisition, made through property owners Fenlay Limited, follows news this month that D&D also plans to open its first two UK restaurants outside of London, at Trinity Leeds shopping centre in 2013.
The two restaurants, a modern French concept and a British bar and grill, will also be designed by Conran & Partners.
The group also announced a 32 per cent rise in profits this autumn.