Australia’s largest hotel operator has signed on to bring its Novotel brand to a new-build hotel due to open in January, 2025.
APH Holdings won approval for its 19-storey 132-key hotel development at 925 Whitehorse Road at Box Hill in June last year.
Novotel Melbourne Box Hill will comprise 132 rooms, conference and events facilities including a 200-capacity ballroom, an all-day dining restaurant, lobby cafe and rooftop bar.
The hotel will also feature a day spa, sauna, wellness centre and gym, and will be one of the closest hotels to Box Hill Hospital and Epworth Eastern Hospital.
APH Holding chief executive Johnson Zhang said he was delighted to partner with Accor on the hotel project.
“Novotel Melbourne Box Hill will be a flagship for the area, and we are confident that it will become a popular destination for both locals and visitors to Melbourne,” Zhang said.
“The hotel will have access to public transport and retail amenities and will be an appropriate asset for Melbourne’s much-needed second CBD which should promote leisure and business.”
Accor Pacific chief executive Sarah Derry described the signing as a “significant milestone for Accor as we expand our presence in Victoria”.
“Box Hill is a vibrant and growing suburb and we are excited to offer both business and leisure travellers a stylish and contemporary accommodation option in this dynamic community.”
Accor is committed to expanding its hotel portfolio in Australia.
There are more than 40 Novotel hotels in metropolitan and leisure destinations across Australia and New Zealand.
Box Hill, 14km east of the CBD, is one of the largest commercial business hubs and transport interchanges outside of the Melbourne CBD.
The City of Whitehorse, of which Box Hill is the major economic hub, is home to nearly 180,000 people and had a gross regional product of $1.5 billion in 2019.
Speaking at The Urban Developer’s one-day summit on hotels, CBRE’s head of Pacific hotels research Ally McDade cautioned of the headwinds of construction costs and the cross winds of inflation. But there seems little doubt the sector is in good shape and likely to get better, at least in the short term.
“I think it’s important that we don’t forget that Australia’s really a bucket-list destination and there’s usually a 12-to-18-month window from where people plan a trip to actually making a booking,” McDade said.
“So in essence, it’s our view that we should see a marked improvement in those rates over the next six to 12 months.”
