New dual hotel for iconic Melbourne mall

Intercontinental Hotels Group will open its first Australian dual-branded hotel in 2022 on Bourke Street Mall in the heart of Melbourne’s CBD.

The signing of Hotel Indigo Melbourne Little Collins and Holiday Inn Melbourne Bourke Street Mall comes as overseas hotel chains ramp up their presence in the Victorian capital.

Hyatt and Marriott have also unveiled new hotel and serviced apartment offerings in Melbourne, adding some 900 rooms to the city’s 9000-room offering.

The site is currently trading as The Walk Arcade and gives Intercontinental Hotels Group (IHG) a high profile base in the retail heart of Melbourne.

The company’s statement said: “The property will front onto Bourke Street Mall on one side and Little Collins St on the other, allowing Holiday Inn to make the most of the pedestrianised retail haven and Hotel Indigo to bring the edgy laneway neighbourhood to life.

[pro_ad_display_adzone id=”15046″ align=”left”]The $200 million mixed-use development will include international retail stores and a combined 453-room hotel (181 in Hotel Indigo and 272 in Holiday Inn), which will feature restaurants, a gym, meeting spaces and unique guest lobby and room experiences for each brand.

The overall development will enjoy shared back-of-house services and facilities.

Abhijay Sandilya of IHG Australasia, said: “With such a large property and sought-after location, dual branding makes perfect sense.

“IHG has experience with dual branded properties in other markets, including the Hotel Indigo and Holiday Inn Express in Singapore Katong, and a dual-branded EVEN Hotel and Holiday Inn Express planned for Auckland in 2020.

“We are excited to bring Hotel Indigo’s neighbourhood story and Holiday Inn’s ‘Joy of Travel’ together to provide guests of all types with the experience that appeals to them.”

The new hotels will anchor the overhaul of the 1980s-built mall, which sits on 3500 square metres opposite Myer and David Jones in Melbourne’s busiest shopping strip.

The Walk Arcade is owned by Singapore investor Hua Sin Tay, who bought if for $18 million in 1993. Plans to redevelop it were submitted in February, with the project being led by Focus Ventures.

Focus spokesperson Tony Tai said: “Much consideration has been put into the plans to transform the property into an iconic Melbourne site that complements its strategic location.

“Together with our consultants, we have put forth a combined retail and hotel site plan that is able to attract top retailers from around the world.”

The development is projected to bring in more than $100 million in annual spending from visitors and shoppers and create 1,000 new direct jobs and 900 indirect jobs for Victoria.

Plans have been lodged and the project is subject to development approval by the Melbourne authorities.



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