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Cutting edge hotel set to accommodate KI visitor influx

HIGH-END tourism on Kangaroo Island will be boosted by a new $35 million hotel as the jewel in South Australia’s holiday crown seeks to further its top dollar appeal.

SA Tourism Rewards Wonder

HIGH-END tourism on Kangaroo Island will be boosted by a new $35 million hotel as the jewel in South Australia’s holiday crown seeks to further its top dollar appeal.

Six international hotel operators have been competing to buy KI’s first large format hotel said long time island developer Caj Amadio who is behind the plan to build the 115 room Dauncey Hotel in Kingscote.

“For a long time tourism operators have been telling me there are not enough opportunities to book large groups of visitors in Kingscote,” Mr Amadio said. “The planes (to KI) were not big enough and there were not enough accommodation places, that’s why we are building this hotel.”

Mr Amadio, who fronts SA’s Amadio Group which has long term interests in property and wine, said the hotel project came to fruition once the KI airport upgrade was completed earlier this year.

The Commissioner for KI, Wendy Campana, welcomed the new hotel.

“There is a place for an additional tourism project,” she said. “The feedback is that the community is very supportive of this.”

The proposed Dauncey Hotel on KI.
The proposed Dauncey Hotel on KI.


Potential owner/investors will able to buy into the project by two different routes said Savills Australia’s Rob Williamson, who is leading the sale.

“The development approvals are in place and a developer can buy the land and build it themselves or they can buy the (finished) hotel,” he said. “We’re anticipating offers of $30 million to 35 million,”

The hotel will have 115 high-quality rooms across five levels, all day restaurant and lobby facilities, a rooftop function and bar area, gymnasium, a state-of-the-art function space and meeting rooms.

The successful hotel operator will be announced once a buyer has been agreed Mr Amadio said.

Mr Williamson said the hotel is an opportunity to secure a premium asset to guarantee investment fundamentals.

“The success of KI luxury accommodation, such Southern Ocean Lodge in Kingscote, and the completion of the airport upgrades has seen increased demand for a major hotel to cater for tourism and commerce. Tourism and increasing investment on KI and visitor growth is forecast for years to come.”

SA Tourism: 5 Days of Wonder

Mr Amadio, who lives on mainland SA, has a long history with KI

“I bought some property in Emu Bay, 46/47 years ago,” he said.” It was all farm land and my family have been going there for long weekends and holidays for years.”

This is not the first time he has been instrumental in bringing more visitors to the island, with a proposed ferry service from Glenelg to Kingscote seemingly hitting the rocks last year. Or perhaps not.

“The hotel project has taken me a lot of time. The ferry is still on the agenda. I am sure it will come back, it’s about getting a people over there. A lot of people from Asia are coming over, the ferry is a method of transport they are familiar with.”

The one hour 50 minutes, 35 knots service would transport 400 passengers he said and has been designed to cope with rough waters on the 100 kilometre plus crossing. SA property magnate Con Makris, who owns property around Holdfast Shores, was heavily involved in the initial ferry plans.

Expressions of interest close Friday, October 26.

Original URL: https://www.adelaidenow.com.au/business/sa-business-journal/cutting-edge-hotel-set-to-accommodate-ki-visitor-influx/news-story/d6f02f81048436504c7963374da6f4c2