Residential developer Citystate Property has received approval from the City of Sydney for an 18-storey hotel at 98-104 Goulburn Street.
The developer lodged the application in August 2017, following an unsuccessful development submission for a 37-storey, mixed-use tower in 2015.
The developer withdrew the application after months of exhibition in early-2016. Citystate held options to the wider site of 90-104 Goulburn Street in Sydney’s CBD which includes the Crown Hotel and German Lutheran Church.
The proposal for the $35 million hotel was the third application that the developer had submitted, albeit for a smaller corner at the Goulburn Street site.
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CityState Property senior development manager Oliver McGeachie said the application was passed with little amendment in the face of increasing land values and tourism demand in Sydney.
“Some minor changes occurred to the façade of the building and ground level through negotiations and refinement with council.
“The challenges are finding well-located sites that are feasible, given the scarcity in sites in Sydney, the competing land uses and the increasing headwinds in financing and development cost inputs.
“This creates opportunities for creative proposals that maximise value through the development process, especially given the increasing demand for tourism in Sydney,” McGeachie said.
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The approval remained largely unchanged maintaining the floor space ratio and ground floor area, 165 hotel rooms, four-bedroom penthouse apartment, ground level retail and 12 carpark spaces.
Citystate’s proposal predicted a $35 million price tag to build and will now review the project before determining a construction date.