A range of flow-on benefits are on the horizon for the Sunshine Coast as the region looks to attract a new wave of luxury hotels.
Job creation, infrastructure investment and economic growth are just some of the bonuses of a push to attract more upscale brands.
The Queensland Government has informed Sunshine Coast Council that the Temporary Local Planning Instrument (Accommodation Hotel Incentive Measures), to encourage upscale accommodation hotels (TLPI), has been approved with conditions.
Sunshine Coast Mayor Rosanna Natoli said the Sunshine Coast Council welcomed the Queensland Government's approval of the TLPI.
"Council's desire is to encourage luxury hotels in specific, appropriate locations to foster our economic growth into the future," Mayor Natoli said.
"For several years, the tourism industry and business community have highlighted the urgent need for new, branded hotels. This TLPI aims to fill that need."
The proposed TLPI provides for a targeted set of planning provisions to encourage the development of upscale hotels - four star and above - in key centre locations.
This would include a height allowance and reduced on-site car parking requirements.
Holistic hotel incentives package
The proposed TLPI complements an endorsed Strategic Policy that provides application fee relief and infrastructure charges discounts for accommodation hotel proposals.
This comprehensive incentive package to encourage upscale hotels to the Sunshine Coast is much needed - the last luxury hotel was completed more than 30 years ago.
Currently, about 70 per cent of visitor accommodation on the Sunshine Coast consists of self-catering, limited-service apartment accommodation.
Mayor Natoli said the Sunshine Coast was missing out on a variety of markets due to the limited upscale accommodation.
"We need a breadth of options to suit different visitor needs," Mayor Natoli said.
"Upscale hotels will provide accommodation options for the high value and business markets.
"This type of visitor spends two-to-three times more, drives less, visits in off-peak times and stays longer.
"If we do not act now these visitors will continue to head - and spend their money - elsewhere.
"It's estimated that just one upscale hotel will generate an additional spend of $29.5 million annually in our region, supporting our local businesses, providing approximately 422 jobs during construction and another 165 jobs ongoing.
"The Deputy Premier's conditions reduce the area to which the TLPI applies, specifically targeting Maroochydore and Caloundra. This is a positive step towards attracting more hotel development in the two largest coastal centres in our region.
"Council expects the incentives package, comprising the TLPI and Strategic Policy, will only result in a small number of new hotels being developed, however this outcome would have a big impact on the quality and depth of this region's tourism accommodation offer."
Before the TLPI can take effect, Council must consider and comply with the conditions imposed by the Minister and publish a public notice about the commencement of the TLPI, in accordance with the Planning Act 2016 and the Minister's Guidelines and Rules.
Fast facts
- Research indicates 2,450 new hotel rooms are required on the Sunshine Coast over the next decade.
- Only one per cent of our region's hotels are considered luxury. The last was built in 1989.
- The Sunshine Coast is the third highest visited region in the state behind Brisbane and the Gold Coast.
- Each new hotel in the region is estimated to generate an additional $29.5m in economic impact yearly.
- Upscale hotels attract visitors who spend two-to-three times more than average.
