Margaret River Hotel and Village Plan Before EPA

Plans for a high-end hotel and spa project in Western Australia’s Margaret River region are now under assessment by the state’s Environmental Protection Authority

Perth developer Luke Saraceni’s Saracen Properties has put forward the plans for the Westin hotel in the state’s south-west, an internationally popular tourism site.

Saracen is drawing up an environmental scoping document for the assessment process.

The proposed Westin Margaret River Resort and Spa comprises 121 rooms, a restaurant and bar, a function centre, a gym and a spa.

The Gnarabup Beach Village component of the project comprises 51 villas, four townhouses and 25 apartments plus a shop.

The 8.11ha site at takes in 501, 502 and 504 Reef Drive, 503 Seagrass Place and 783 Mitchell Drive in Gnarabup, with part of the development taking in 5487 Seagrass Place, 701, 8001 and 5484 Wallcliffe Road and 502 Mitchell Drive.

Mitchell Drive is a new road to be built as part of the project. 

Saracen Properties has partnered with the Christou Design Group, Marriott International and Security Capital Australia for the project.

The developer bought the site in late 2019 for $5.5 million.

The EPA opened up the question of assessment for public comment in December, 2021, and decided the plans required assessment at the highest level of public environmental review. 

▲ A render of the proposed Westin Margaret River Resort and Spa on the Leeuwin Naturaliste Ridge.

EPA chair Professor Matthew Tonts told The Urban Developer that the process would take some time.

“The proponent is currently preparing an environmental scoping document (ESD) for the environmental review,” Tonts said.

“This document will be subject to a two-week public review prior to consideration by the EPA for approval.

"The environmental review will then be prepared and, once accepted by the EPA, released for a four-week public review.”

After this, the EPA will draft an assessment report for the WA Environment Minister Reece Whitby with its recommendations but Tonts said this could also be appealed.

“Once any appeals have been determined, the Minister for Environment will then make a final decision on the proposal,” Tonts said.

A state government spokesperson confirmed the process and said that it was appropriate to lodge the plans through the State Development Assessment Unit process.

The site is on the edge of the Leeuwin-Naturaliste Ridge, 200m from the Indian Ocean. 

The location has a long history of residents and community groups keen to restrict development due to its ecology, and coastal erosion and climate change issues.

This includes a stoush between Perth businessman Mark Hohnen and the shire council that began 30 years ago.

Hohnen, through Summerrall Properties and Wellbrook Enterprises, filed plans in 1992 for a project with 163 single residential lots, 105 special residential lots, nine special rural lots, a 50-room lodge, a 1.5ha chalet site, a 2.7ha caravan park, a 1.3ha commercial-community purpose site, 13ha public open space and 165ha ceded to the Leeuwin-Naturaliste National Park.

These plans were referred to the EPA for assessment and were not approved.

Hohnen tried again in 2002, prompting legal action by the Augusta Margaret River Shire Council.

The Western Australian Planning Commission had granted subdivision approval and allowed earthworks to begin, but the council rejected the application when more than 700 community submissions opposed Hohnen’s Gnarabup Beach Company’s 120-room lodge plans.

Hohnen then sued the council for $5.7 million, claiming he had lost money during the process.

In 2005, Hohnen sent a modified structure plan to WAPC who referred it on to the council but then shire president Steve Harris was told that the shire’s chief executive James Trail was receiving legal advice on the matter.

The council was advised in November 2006 that opposing the WAPC’s endorsement of it would open the council up to legal liability. It then drafted a draft planning scheme removing limitations on the size of Gnarabup though the WAPC requested that these limitations remain.

This scheme was adopted in 2010 despite hundreds of objections from the community.

▲ The Gnarabup Beach Village plans by Saracen Properties include 51 villas.

In 2020, when Saracen’s project was first announced, WA Premier Mark McGowan said the project would create 300 jobs and increase tourism in the region.

“The project will create construction jobs during the build, it will also support ongoing jobs once the resort is in operation,” McGowan said.

“While Covid-19 has had serious impacts on tourism right around the world and here in WA, this project demonstrates long-term confidence in Margaret River and Western Australia as world-class destinations.”

A state government spokesperson confirmed that Premier McGowan's 2020 comments were in support of the perceived tourism and employment benefits.

“The WA government welcomed the announcement of the proposed Westin Margaret River Resort and Spa as a vote of confidence in WA’s tourism industry and a driver of local jobs during the pandemic,” the spokesperson said.

“The Environmental Protection Authority (EPA) assessment process is independent of government.”