Amora Hotels buys Hilton Adelaide tower with plans for $40m makeover

A Thai family-owned hotel group will take over the landmark Hilton Adelaide and has plans for a $40m upgrade and rebrand.

Hilton Adelaide at Victoria Square.

Thai hotel group Amora Hotels and Resorts will invest $40m into a major upgrade of Adelaide’s largest hotel, Hilton Adelaide, after striking an agreement to acquire and rebrand the 377-room property.

Hilton will vacate the landmark tower when its management agreement expires in June next year, bringing to an end more than 40 years at the Victoria Square site.

Amora, which owns and operates three hotels in Sydney, Brisbane and Melbourne, will take over management of the hotel, which it plans to upgrade into a luxury five-star offering.

Amora Hotels and Resorts vice president of operations Tamer Habib said the acquisition was part of the family-owned company’s plans to rapidly expand in the Australian market.

“This is a strategic acquisition for us, because Amora is expanding and our strategy is to acquire five-star CBD hotels in all Australian capital cities and also in Auckland,” he said.

“Adelaide was one of the prominent cities that we’ve been looking at ... and the plan is to acquire at least one more hotel this year.

“The property is pretty run down and we are committed to spend over $40m on renovations once settlement takes place. It will be full renovations – not only the rooms, but also lobby, restaurant and conference spaces.”

The Amora Hotel in Brisbane.

Hilton’s exit from the Adelaide market next year follows confirmation on Tuesday that the Hilton Brisbane hotel would close its doors at the end of the month following the apparent failure of negotiations to extend its lease with landlord ISPT.

Amora, owned by Thailand’s Siriphatrawan family, owns and operates the luxury 415-room Amora Hotel Jamison in Sydney, the 111-room Amora Riverwalk Melbourne and the 300-room Amora Hotel Brisbane – a former Novotel site that recently underwent a $35m upgrade.

It also owns and operates three hotels and resorts in Thailand – in Bangkok, Phuket and Chiang Mai.

Owner Earp Siriphatrawan said the Adelaide acquisition, which is due to settle in the next couple of months, marked a “significant milestone in our expansion strategy”.

“This acquisition aligns with our vision of establishing a strong presence in key Australian cities while delivering world-class hospitality experiences,” he said.

“Adelaide, with its vibrant tourism and business landscape, presents an exciting opportunity for growth. This addition will bring immense value to our guests, stakeholders and the broader Amora community.”

Hilton Adelaide, which opened in 1982, features 377 guest rooms – more than any other hotel in Adelaide – as well as 20 conference and meeting rooms, a business lounge, tennis court, gymnasium and swimming pool.

It is also home to restaurants and bars including COAL Cellar + Grill and The Collins Bar.

CBRE Hotels’ Michael Simpson, Vasso Zographou, Tom Gibson and Nick Hill, who brokered its sale, said the property attracted strong interest from domestic and offshore private and institutional investors.

Originally published as Amora Hotels buys Hilton Adelaide tower with plans for $40m makeover