diff --git a/python/src/com/jetbrains/python/PyBundle.properties b/python/src/com/jetbrains/python/PyBundle.properties
index 21fb73f48178..4259ea2165b9 100644
--- a/python/src/com/jetbrains/python/PyBundle.properties
+++ b/python/src/com/jetbrains/python/PyBundle.properties
@@ -152,6 +152,7 @@ INTN.negate.$0.to.$1=Negate ''{0}'' to ''{1}''
 
 INTN.string.concatenation.to.format=Replace string concatenation with format operator
 INTN.replace.plus.with.format.operator=Replace + with string formatting operator
+INTN.replace.plus.with.str.format=Replace + with str.format method call
 
 INTN.format.operator.to.method=Convert format operator usage to str.format method call
 INTN.replace.with.method=Replace with str.format method call
diff --git a/python/src/com/jetbrains/python/codeInsight/intentions/PyStringConcatenationToFormatIntention.java b/python/src/com/jetbrains/python/codeInsight/intentions/PyStringConcatenationToFormatIntention.java
index 1e1be0521d9d..e6e2e268067f 100644
--- a/python/src/com/jetbrains/python/codeInsight/intentions/PyStringConcatenationToFormatIntention.java
+++ b/python/src/com/jetbrains/python/codeInsight/intentions/PyStringConcatenationToFormatIntention.java
@@ -67,8 +67,10 @@ public class PyStringConcatenationToFormatIntention extends BaseIntentionAction
         return false;
       }
     }
-
-    setText(PyBundle.message("INTN.replace.plus.with.format.operator"));
+    if (LanguageLevel.forElement(element).isPy3K())
+      setText(PyBundle.message("INTN.replace.plus.with.str.format"));
+    else
+      setText(PyBundle.message("INTN.replace.plus.with.format.operator"));
     return true;
   }
 
@@ -104,13 +106,14 @@ public class PyStringConcatenationToFormatIntention extends BaseIntentionAction
     while (element.getParent() instanceof PyBinaryExpression) {
       element = element.getParent();
     }
-    StringBuilder stringLiteral = new StringBuilder();
-    StringBuilder parameters = new StringBuilder();
-    NotNullFunction<String,String> escaper = StringUtil.escaper(false, null);
+    final LanguageLevel languageLevel = LanguageLevel.forElement(element);
 
-    int addParens = 0;
+    NotNullFunction<String,String> escaper = StringUtil.escaper(false, null);
+    StringBuilder stringLiteral = new StringBuilder();
+    List<String> parameters = new ArrayList<String>();
     Pair<String, String> quotes = new Pair<String, String>("\"", "\"");
     boolean quotesDetected = false;
+    int paramCount = 0;
     for (PyExpression expression : getSimpleExpressions((PyBinaryExpression) element)) {
       if (expression instanceof PyStringLiteralExpression) {
         if (!quotesDetected) {
@@ -119,27 +122,43 @@ public class PyStringConcatenationToFormatIntention extends BaseIntentionAction
         }
         stringLiteral.append(escaper.fun(((PyStringLiteralExpression)expression).getStringValue()));
       } else {
-        ++addParens;
-        stringLiteral.append("%s");
-        parameters.append(expression.getText()).append(", ");
+        addParamToString(stringLiteral, paramCount, languageLevel);
+        parameters.add(expression.getText());
+        ++paramCount;
       }
     }
     if (quotes == null)
       quotes = new Pair<String, String>("\"", "\"");
+    stringLiteral.insert(0, quotes.getFirst());
+    stringLiteral.append(quotes.getSecond());
 
     PyElementGenerator elementGenerator = PyElementGenerator.getInstance(project);
-    PyStringLiteralExpression stringLiteralExpression =
-      elementGenerator.createStringLiteralAlreadyEscaped(quotes.getFirst() + stringLiteral.toString() + quotes.getSecond());
 
-    if (addParens > 0) {
-      final String paramString = addParens > 1? "(" + parameters.substring(0, parameters.length() - 2) +")"
-                                                     : parameters.substring(0, parameters.length() - 2);
+    if (!parameters.isEmpty()) {
+      if (languageLevel.isPy3K()) {
+        stringLiteral.append(".format(").append(StringUtil.join(parameters, ",")).append(")");
+
+      }
+      else {
+        final String paramString = parameters.size() > 1? "(" + StringUtil.join(parameters, ",") +")"
+                                                       : StringUtil.join(parameters, ",");
+        stringLiteral.append(" % ").append(paramString);
+      }
       final PyExpression expression = elementGenerator.createFromText(LanguageLevel.getDefault(),
-                                                              PyExpressionStatement.class, paramString).getExpression();
-      element.replace(elementGenerator.createBinaryExpression("%", stringLiteralExpression, expression));
+                                                                PyExpressionStatement.class, stringLiteral.toString()).getExpression();
+      element.replace(expression);
     }
     else {
+      PyStringLiteralExpression stringLiteralExpression =
+        elementGenerator.createStringLiteralAlreadyEscaped(stringLiteral.toString());
       element.replace(stringLiteralExpression);
     }
   }
+
+  private static void addParamToString(StringBuilder stringLiteral, int i, LanguageLevel level) {
+    if (level.isPy3K())
+      stringLiteral.append("{").append(i).append("}");
+    else
+      stringLiteral.append("%s");
+  }
 }
diff --git a/python/testData/intentions/afterStringConcatToFormatPy3.py b/python/testData/intentions/afterStringConcatToFormatPy3.py
new file mode 100644
index 000000000000..6d713a0a68b5
--- /dev/null
+++ b/python/testData/intentions/afterStringConcatToFormatPy3.py
@@ -0,0 +1,3 @@
+
+string = "string"
+some_string = "some {0}".format(string)
diff --git a/python/testData/intentions/beforeStringConcatToFormatPy3.py b/python/testData/intentions/beforeStringConcatToFormatPy3.py
new file mode 100644
index 000000000000..42bff183899d
--- /dev/null
+++ b/python/testData/intentions/beforeStringConcatToFormatPy3.py
@@ -0,0 +1,3 @@
+
+string = "string"
+some_string = "some " <caret>+ string
diff --git a/python/testSrc/com/jetbrains/python/PyIntentionTest.java b/python/testSrc/com/jetbrains/python/PyIntentionTest.java
index 7a415f7241da..c638cf936583 100644
--- a/python/testSrc/com/jetbrains/python/PyIntentionTest.java
+++ b/python/testSrc/com/jetbrains/python/PyIntentionTest.java
@@ -133,6 +133,10 @@ public class PyIntentionTest extends PyTestCase {
     doNegativeTest(PyBundle.message("INTN.replace.plus.with.format.operator"));
   }
 
+  public void testStringConcatToFormatPy3() {   //PY-4706
+    doTest(PyBundle.message("INTN.replace.plus.with.str.format"), LanguageLevel.PYTHON33);
+  }
+
   public void testConvertFormatOperatorToMethod() {
     doTest(PyBundle.message("INTN.replace.with.method"), LanguageLevel.PYTHON26);
   }