Developers modify apartment block plan into hotel project for Melbourne CBD

A PROPOSED inner city apartment tower has been reborn as a hotel, with plans lodged with city council for a $29.8 million, 99-room tower on La Trobe street.

PLANS have been lodged for another hotel tower in central Melbourne, this time a 199-room development on La Trobe St in the CBD’s northwest corner.

The $29.8 million project by Spacious Property Development Group is a revised version of its apartment block proposal it won planning approval for last year.

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Spacious Group associate director Dan Xia said the revised building plans, submitted to the Melbourne City Council, were similar to the original application.

Artist's impression of the podium of the revised development plan for a 17-storey hotel on La Trobe St, Melbourne. Pic: Spacious Property Development Group

“The main difference being the change of use from residential to a hotel,’’ Mr Xia said.

The first application, submitted in 2016 and approved in VCAT in August last year, was for 118 apartments and ground-floor shops.

The exterior of the revised plans for a 17-storey hotel is similar to the original apartments plan (below) at 488 La Trobe St, Melbourne. Pic: Spacious Property Development Group

Artist's impression of the apartment block plan. Pic: Spacious Property Development Group

The latest design by Doig Architecture, features a cafe on ground level and a restaurant on the sixth floor overlooking La Trobe St. A conference room and gym is also planned in the 55m-high development.

No operator or hotel group has been named to run the development.

Artist's impression of original development for apartment block at 488 La Trobe St, Melbourne. Pic: Spacious Property Development Group

Just 42 carparking spaces are provided, mostly in two basement levels.

A single-storey factory has been demolished on the 1100 sqm site.

The site is located in part of the West Melbourne zone which has a 16-storey discretionary height overlay.

Victorian general manager of Tourism Accommodation Australia Dougal Hollis said many business, sporting and cultural events were coming to Melbourne in the next six years, prompting investor confidence in the hotels sector.

“Melbourne has a history of absorbing new hotel stock well and maintaining strong occupancy levels,’’ Mr Hollis said.

The Spacious Group submission is the latest hotel proposal for the inner city. A total of 14 hotels are now under construction in the CBD, Docklands and Southbank, and will add another 2900 rooms by March 2020.

The biggest project is the 67-level, $240 million 380 Melbourne twin-towers complex on Lonsdale St which will have 728 apartments and 312 hotel rooms.

@IanRoyall