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Historic Diggers Rest Hotel set for $30 million rebuild

THE historic Diggers Rest Hotel could be set for a $30 million resurrection - almost 10 years after it was destroyed by fire.

Vandals have made the Diggers Rest Hotel their playground since a fire destroyed it in October, 2008.
Vandals have made the Diggers Rest Hotel their playground since a fire destroyed it in October, 2008.

ONE of Victoria’s most historic pubs in Diggers Rest could be set for a $30 million resurrection.

The Diggers Rest Hotel, built in 1854, was razed to the ground by fire in October 2008.

Vandalism and graffiti have further degraded the building since.

But under plans submitted to Melton Council and seen by the Leader, investors AD Capital Group have flagged a significant hospitality precinct incorporating a restored hotel on the site.

RELATED: Diggers Rest Hotel demolition take off table

Project manager Daniel Lyne of Interest Property said the development of between $20 million and $30 million would see the retention of the historic building in a modernised form along with an 80-unit hotel ­development.

Other features of a 2ha precinct would be a gin distillery, farm store for provedore businesses, vineyard, orchard and lake.

Mr Lyne said targeting the wedding business market was a priority with a function centre and villa-style units.

He described the ambitions of investors as bold, especially given the obligations attached to a heritage-listed building.

“The project has been on my client’s radar for about a year and it picked up steam about four months ago,” he said.

The sad state of the historic Diggers Rest Hotel today.
The sad state of the historic Diggers Rest Hotel today.

“The population growth around Diggers Rest and the need for a genuine community hub has given the concept some real impetus.

“High-end quality accommodation will be a point of difference for the area, and the concept is to attract both day trippers and the local community with a varied range of experiences on offer.”

Mr Lyne said a formal public exhibition of plans would be made once Melton Council planners were satisfied with the initial ­proposal.

A community consultation session would also be held to detail the concept.

“The project build could be commencing by this Christmas if all the relevant planning stages had been satisfied and would be built in one stage,” he said.

Diggers Rest resident David O’Connor, who has urged action on rebuilding the hotel for several years, said the plans were ­welcome.

“Since the fire in 2008, Diggers Rest has been marred by the unsightly ruins of the hotel left to decay at the entrance to the township,” he said.

“Unfortunately Diggers Rest lacks a main street thoroughfare or town centre where residents can catch up and socialise.

The damaged Diggers Rest Hotel after the 2008 fire.
The damaged Diggers Rest Hotel after the 2008 fire.

“Hopefully, the redevelopment of the hotel will work toward providing a much-needed community hub and focal point.”

The stopover point for aspiring gold diggers was built in 1854 by ex-convict William Speary — a “sly-grog shop” had sprung up at the site two years before.

The hotel was also the colourful watering hole for Sunbury Pop Festival goers in the early 1970s.

The Diggers Rest Hotel on fire in 2008.
The Diggers Rest Hotel on fire in 2008.

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Original URL: https://www.heraldsun.com.au/leader/north-west/historic-diggers-rest-hotel-set-for-30-million-rebuild/news-story/1bfe25573cff1f69d88ffadc68c144f7