Event announces plans for major Sydney towers
The listed Event Hospitality & Entertainment has an ambitious development pipeline that could see it build at least two major towers in George St in the heart of Sydney’s CBD.
The group, which has hotels, cinemas and resorts in Australia, New Zealand and Germany, is also working up plans for a number of key properties it owns, which may include luxury apartments, chairman Alan Rydge told the group’s annual general meeting last Friday.
Event chief executive Jane Hastings says the group’s portfolio has benefited from a favourable market and indicated a medium-term focus on new projects. After a period of expanding cinemas and redevelopments, including transforming cinema properties into QT hotels, the company will be “refocused towards our property development opportunities to generate strong future growth”, she says.
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The company will redevelop properties it bought for $117 million last year at 458-472 George St, integrating these with the State Theatre and Gowings buildings and extending the QT Sydney hotel.
The group could do a mixed use project including shops along a prime section of George St, adding rooms and conference and events facilities to the QT hotel, as well as a commercial tower that would be developed via a joint venture.
The company has plans for the future development of 525 George St. This now forms part of the George St cinema complex and Event says it could construct a major cinema, residential and hotel development. The site has two Vmax cinemas and some smaller screens that could be better used.
The company has amassed a property portfolio with a fair value of about $2 billion, which favourably compares to the book value of $1.2 billion.
It plans to also upgrade the company’s Thredbo Alpine Resort and other hotel properties. A gondola could replace Merritt’s chairlift and the Merritt’s Mountain House and the facilities at Friday Flat could be upgraded.
A major expansion of Rydges Melbourne, including rooms and conference and event space, is also on the cards. Event could also develop a cinema, hotel and residential development at 100 Cable Street in New Zealand, next to the QT Wellington.
Event opened the QT Perth in August, which is trading in line with expectations, despite a tough city hotel market. The Atura Adelaide Airport opened in September, and is also trading in line with expectations.
New rooms will open at QT Wellington next month and an expansion of conference space at both QT Melbourne and Rydges Townsville is underway.
The company is expanding hotels it manages, with new rooms at Rydges Campbelltown to be finished next month, the Rydges Wellington Airport opening in December and plans for an extension of Rydges Latimer Christchurch.
Upgrades are also planned for the Rydges Queenstown, the QT Gold Coast and QT Canberra. Rydges North Sydney is also in line for a refurbishment.
This article originally appeared on www.theaustralian.com.au/property.
