Melbourne Airport Corporation begins construction of 10-level dual branded hotel


Melbourne Airport Corporation turned the first sod today, marking the start of construction, for a $163 million dual-brand hotel (artist’s impression, top).

The Fender Katsalidis designed 10-storey 464-suite inn – with interiors by Woods Bagot – will be located within a new precinct to be known as The Hive, walking distance to Melbourne Airport’s Terminal 4.

A four-star Novotel, and three-star ibis Styles hotel – both Accor brands – will occupy the complex which will also include a guest gym and pool, café, bar, restaurant and conference room facilities. The venue will also contain about 1200 square metres allocated as co-working space.

Local outfit Built will undertake the construction.

“It is really exciting to bring such a great new hotel concept to one of the great travel destinations in Australia – Melbourne, giving travellers more choice and amenity,” Melbourne Airport Corporation’s chief of property, Linc Horton, said.

“We believe this new development will bring a much needed social hub to our space bringing visitors and business colleagues together on the doorstep of the airport with access to more than 650 flights per day.

“Importantly, it will also open up around 120 job opportunities for hospitality and tourism staff – a huge boost for the City of Hume”.

Accor Pacific chief operating officer Simon McGrath added that worldwide, Accor is an airport hotel specialist, and the company “continue to innovate and lead in this sector”.

“We are excited to be working with Melbourne Airport on this significant development and thrilled to be embarking on another dual-branded hotel complex with our internationally recognised Novotel and ibis Style brands,” Mr McGrath said. “This newest member of the Accor Group is a vibrant airport precinct development, which captures the essence of Melbourne through its interiors and warm welcome to guests.

“With more than 650 flights in and out of Melbourne Airport every day, we’re confident this hotel will quickly become a new destination in itself for passengers, offering easy access to a choice of great accommodation, amenities, and state-of-the-art conferencing, just steps away from Terminal 4”.

Built director, Victoria and South Australia, Ross Walker, said the Melbourne Airport project “is well suited to our combined hotel and airport experience in Victoria and nationally.

“To ensure the project runs smoothly we are deploying advanced virtual design and construction technology that will allow us to identify and avoid issues early in the construction process”.

Set to open in 2021, the hotel will form part of Melbourne Airport’s Hive precinct, which will also include a childcare centre and office space ranging in size from between 1000 to 10,000 square metres.

Melbourne Airport is planning a 15,000 square metre expansion of its T2 terminal.

Other recent Melbourne Airport real estate investment

In June, we reported Melbourne Airport Corporation started construction of a $300 million taxi network – an investment it described as the biggest for the site, which opened in 1970.

Melbourne Airport also commenced a six month consultation period regarding a change in potential orientation of a long-earmarked third runway.

In March, we reported the T2 International facility would be extended by 15,000 sqm – fitting in a shopping centre, restaurant precinct and 4500 sqm of airport lounges.

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Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of