Plans to develop the Grade II listed building will be submitted in July and could create 800 jobs.
The 'village' will be closed to traffic and will also include parking, apartments, shops, a spa and cinema.
Adam Hall, of architects Falconer Chester Hall, said: "There will be nothing quite like it in the north west of England so we are confident it will quickly become a new reason for people to come to Liverpool."
Mayor Anderson said: "Proposals such as these are complex but are an indication of confidence in the city and its prospects. There is much work to be done to bring the scheme to fruition but we are fully behind the plans and extremely excited about the positive impact it will have on a key city site."
Work on the site would begin next spring if planning consent is granted.