Work on $140 million Sofitel project on Currie St to begin in May

ALMOST three years after SA Premier Jay Weatherill revealed a top brand, luxury hotel was coming to Adelaide, a construction date has finally been announced.

Work on the new Sofitel hotel and Luminesque apartments on Currie St, Adelaide will begin in May 2018.

ALMOST three years after SA Premier Jay Weatherill revealed a top brand, luxury hotel was coming to Adelaide, a construction date has finally been announced.

A $140 million Sofitel and 70 residential apartment Luminesque complex is set to rise 117 metres on Currie St in the CBD with demolition works set to begin on May 21.

The 257 room hotel — sat directly in front of acclaimed advertising agency KWP! — will stand apart from all other high end hotels in Adelaide said Simon McGrath, chief operating officer of operator AccorHotels Pacific, with the city well positioned for a tourism push on the back of a serious macro infrastructure investment over the past five years.

“Investment does follow good government in this sector. Demand is hard and soft and Adelaide has had four or five years of doing this well,” he said.

“Adelaide Oval gave a great momentum and created the demand. As a result you do have a lot of investment coming to Adelaide and a lot of people are more willing to take a look at projects, even though they might not all get up.”

Mr McGrath confirmed he had been working toward the project over the past five years which has been led by SA developer Palumbo.

“It’s tough for any developer. Hotels are now becoming seen as an asset and you have to work hard to get the return. You have to roll you sleeves up,” he said.

Palumbo has recently completed the 11 storey, East Park residential project in Kent Town and managing director, Daniel Palumbo said that 80 per cent of his Currie St apartments have already been sold. Local uptake is strong he said with all but but four buyers hailing from Australia.

SA Tourism Minister Leon Bignell announced that a $5 million low interest government loan to Palumbo from the government’s Future Jobs Fund has allowed the project start date to move forward.

“Jobs are our number one priority. More than 600,00 South Australians are directly or indirectly employed by the tourism industry and this additional funding will see this number grow, “ Minister Bignell said.

About 150 people are expected to be employed by the new Sofitel once it is fully operational in about 2.5 years time.