A 10-storey hotel will rise at Adelaide’s prime beachfront suburb as upgrades to public transport linking it to the CBD roll on.
Adelaide-based Thirteen Commercial has been approved for the hotel at Glenelg, 11km from the city centre.
The project will add a tower of 90 rooms to the back carpark of the Alexandra Terrace building, known as Glenelg Backpackers.
The Pact architects-designed scheme will convert the Victorian-era building into a restaurant and bar, and premium terrace suites above.
The State Commission Assessment Panel granted consent for the project at 1-7 Moseley Street, Glenelg, this month subject to the developer submitting final detailed designs.
Meanwhile, work on the $870-million tram line upgrades from the city to the suburb continue, including three overpasses to replace level crossings.
The project also includes road and intersection upgrades to reduce congestion in the area. Trams are expected to resume in late January.
In the centre of Glenelg, major construction works are under way to transform the Jetty Road main strip.
The City of Holdfast Bay brought the project forward by 12 months to take advantage of the state government suspension of tram services.
The Jetty Road upgrade extends to Moseley Square near the beach and would improve outdoor dining, integrate the tram line and get rid of a “pedestrian maze”, the council said.
Interest in Festival State hotels has been on the rise off the back of a year of record-high occupancy rates driven by events, according to the state government.
This includes demand for hotel developments in Adelaide that incorporate historic buildings, such as South Australia’s AA Advancements picking up the King’s Head Hotel in July.
The developer reportedly paid around $7 million for the site and plans a 16-storey tower behind the pub at 353-357 King William Street.
There are also plans for a 94-key Wyndham Hotel of 15 storeys opposite the Adelaide Parklands at 81 South Terrace.