Marriott plans new hotel for West Melbourne
Chinese chemical-based consumer goods company Ousia Investments, a recent investor in Australian real estate, has signed agreements with Marriott International to develop a hotel in West Melbourne.
On the edge of Melbourne’s CBD, the 150-room hotel, to be managed by Marriott, will be branded the Courtyard by Marriott West Melbourne and is expected to open by 2021.
Ousia Investments bought the 868sqm 50 Batman St, West Melbourne site in 2015.
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Marriott International executive Richard Crawford says there are more than 1100 Courtyard by Marriott properties throughout the world.
Marriott area vice-president Sean Hunt says there are 19 Marriott properties in Australia with a further 19 in the pipeline.
“Demand is on the rise for modern yet affordable accommodation that appeals to ambitious and enterprising guests,” he says.
The decision comes as research from STR and Citi earlier this year revealed Melbourne’s aggressively expanding hotel market has declined due to the increase in hotel stock and the high quality of Airbnb properties located near the CBD.
In the two months to June revenue per available room rate dropped 0.3% for the second consecutive month. There was a 0.9% drop in June 2018 compared to June 2017.
Recent hotel openings in Melbourne include the 317-room Melbourne Convention and Exhibition Centre Novotel. The 213 room Novotel Little Lonsdale is due to open later this year.
This article originally appeared on www.theaustralian.com.au/property.
