A five star hotel for Elizabeth Quay
Perth is getting a new five star hotel with the Metropolitan Redevelopment Authority (MRA) reportedly giving its informal early approval to Brookfield’s cutting-edge $650million, two-tower Elizabeth Quay plan.
The hotel with 220 rooms will part of a 52-level mixed-use tower which will be Perth’s tallest building.
Designed by international firm REX, the tower will also have 220 luxury apartments and a cantilever jutting out into midair, housing 15,000 square metres of office space.
The development will also feature two levels of high-end retail and food and drink offerings.
Certainly, the new development will add to Elizabeth Quay’s growing status as a tourism drawcard.
Brookfield has a large American portfolio but at this stage, it only has two hotels in Australia.
That means the Perth development will add to Brookfield’s Pullman on the Park (formerly the Hilton) in East Melbourne, opposite the Melbourne Cricket Ground, and the Sofitel Brisbane Central, across from Brisbane’s Central station.
Brookfield’s twin-tower project will be located on lots 5 and 6, placing it right next to Chevron’s lots 7 and 8, the first Elizabeth Quay lots sold. Chevron paid $64 million for those back in December 2013.
At this stage, Chevron is testing the market and evaluating all options for that 40,000 square metres to 50,000 square metres of office space in one building.
While Chevron has asked the MRA for a second development extension, this time to its December deadline to lodge its Elizabeth Quay development plans, the West Australian has put another scenario of the oil and gas giant committing to a long-term lease at the Brookfield towers at Elizabeth Quay and relinquish its 6795 square metre block.
That in effect would allow Chevron to outsource what would have to be a potential distraction of developing its headquarters to Brookfield and Multiplex.
And with Elizabeth Quay being a success, it would potentially deliver a significantly higher sale price for the site.
The resale would deliver a good profit for the MRA.
by Leon Gettler, October 17th 2017
