A proposed new $40 million-plus hotel development in Wollongong would help meet the growing demand for tourism and major events accommodation in the city, developers say.
A Development Application has been submitted to Wollongong City Council for the proposed demolition of existing structures and construction of a new multi-level hotel development at 37-39 Burelli Street, Wollongong.
The proposed 14-storey hotel would incorporate 241 rooms/suites for hotel guests; ground floor pedestrian entry to the lobby, and food and beverage area accessible to the public; private dining/ meeting rooms; kitchen and housekeeping area; first floor lobby/reception; staff offices and gym.
Level 5 would incorporate a podium roof top terrace area.
The estimated cost of the development is more than $41.5 million.
The developers hope the DA will be approved by the Joint Regional Planning Panel in the first half of next year, with the aim of being completed in time for the UCI Road World Championships in September 2022.
The vacant site, formerly home to a car yard, is located at the intersection of Burelli Street and Corrimal Street.
Tim Jones and Geoff Jones at MMJ Wollongong sold this property to Sydney-based developers HELD Property recently for $9,750,000.
Peter Hickey, a partner in HELD Property said the Wollongong hotel market had been under-supplied for some time.
"Over time, some of the hotels that have come on to the market have been taken up by the university and student accommodation, which has added to the problem of having an under-supply," he said.
"The CBD is now growing to include more office space, and it's becoming a hub for conventions, office, entertainment... But there's just a lack of supply there.
"People often stay outside of Wollongong when there's any type of an event on, because they can't get accommodation in Wollongong.
"It'll help meet the growing demand for accommodation in the city for tourism, major events and leisure."
Mark Sleigh, general manager of Destination Wollongong said they had been campaigning for new hotel development in Wollongong for several years.
"Applications such as this are certainly a step in the right direction," he said.
"It's a perfect location - it's located near the Blue Mile, the entertainment precinct and Wollongong CBD.
"The 2022 (Road World Championships) event will hopefully be the start of world-class events coming to town, so these kinds of developments are only going to make it more approachable for larger event operators to come to town, as room capacity is most certainly something that holds us back."
Tim Jones said various hotel chains have expressed interest in the precinct and the proposal, and have worked collaboratively with the stakeholders and project team regarding key elements of design.
"The proposed four to 4.5-star, corporate led, upscale to upper upscale hotel will be positioned to become the preferred accommodation provider for the corporate, events and education-VFR led demand in Wollongong," he said.
"The proposed ground floor restaurant and bar should provide a 'Sydney-quality' experience, but retain a strong local flavour by utilising Wollongong's established producer environment.
"Our team has engaged with a targeted group of potential hotel operators and are nearing the completion of an operator selection process."
According to the agents, the hotel is expected to create an estimated 33 jobs during operation and about 350 jobs during construction.
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