Hickory Group expects to turn the first sod at 9-27 Downie Street shortly.
The 278-suite hotel (artist’s impression top and below), configured with a six-storey podium, and 22-level tower atop of it, is scheduled for completion in 2021.
Little Projects construction director Paris Lechte said the developer previously worked with Hickory Group to deliver ILK South Yarra and South Yarra Central.
Hyatt Centric Melbourne is earmarked for a 1187 square metre site which Little Projects acquired from adult industry entrepreneur Peter Iwaniuk for close to $30 million in mid-2017.
At the time of purchase, the block was permitted to make way for a 30-storey residential building containing 255 flats.
But after agreeing to buy the property, Little Projects started an off-market campaign seeking interest from a hotel occupier.
Once secured, it reworked the permit to allow for hospitality use.
Hyatt vice president, Pacific, Robert Dawson said the proposed Hyatt Centric Melbourne “is designed to reflect Melbourne’s cosmopolitan vibe, vibrant street culture and rich history, and inspire guests to venture out and explore the neighbourhood”.
Shortly after confirming it would lease 9-27 Downie Street, Hyatt pre-committed to another hotel for its Centric brand, in Melbourne’s suburban South Yarra. The hotelier would occupy the entire 11-storey, 153-key venue earmarked for 2-10 River Street.
Last week we reported Hyatt was opening its first Queensland inn, seven years after it last operated a venue in the state.
Other recently-reported hotel-related deals include:
- Hilton committing to run M&L Hospitality’s 472-478 Bourke Street, Melbourne, complex, which is under construction;
- Hilton leasing a hotel within OSK Property’s Melbourne Square;
- Mantra Group renting an unapproved 11-storey complex in Bridge Road, Richmond;
- Australia’s first 1 Hotel opening at Northbank, Melbourne;
- St Regis committing to its first Australian venue – at the $800 million Flinders Bank, near the south-west tip of the Melbourne CBD;
- to the Quincy Hotel brand. Local developer Jonathan Hallinan pre-committed the hotelier to a 30-storey, 241-suite complex, earmarked to be built at 33 King Street. Mr Hallinan then sold this asset for $91.3 million to India’s Interglobe Enterprises;
- InterContintental Hotel Group leasing part of what will be Ringwood’s tallest building, being developed by 94 Feet. IHG also rented a building being developed by Brady Group at 380 Lonsdale Street;
- Ovolo committing to a six-storey complex in Southbank, being developed by Perri Projects;
- Sydney-based Veriu committing to two venues in inner Melbourne – at the Munro site at the Queen Victoria Market and within a Collingwood project to be developed by Tim Gurner.
Meanwhile, in Sorrento, the consortium extending and renovating the Continental Hotel have temporary shelved construction given a lack of construction funding.
Last August, we reported that Little Projects was proposing a seven-storey residential building containing 55 units on a site it co-controls opposite Grattan Gardens in Prahran.
Six months ago, founder, businessman and philanthropist, Paul Little, sold his remaining share in the property company, but said he would stay on in a consulting capacity.