Tourism Investment Monitor 2019–20

Mixed-use accommodation results

 

Capital cities


$46.1 billion

Up $1.8 billion
compared with 2018-19

111 projects

22,800 rooms

Regional


$11.8 billion

Down $0.7 billion
compared with 2018-19

37 projects

6,900 rooms

Total


$57.9 billion

Up $1.1 billion
compared with 2018-19

148 projects

29,800

 

Summary

Mixed-use developments have been increasing in popularity in recent years. They offer developers an option to diversify their investment. For a tourism development to be classified as mixed-use it needs to have:

  • a hotel component
  • a non-tourism related aspect which can include residential, commercial or leisure space.

In 2019–20 there were 148 mixed-use projects valued at $57.9 billion, with the potential to add 29,800 rooms. Three-quarters of these projects were located in capital cities, with Melbourne alone having 41 projects valued at $18.6 billion. Some key mixed-use developments in capital cities included:

  • Queens Wharf Brisbane – $3.6 billion and 1,000 rooms
  • Hilton Melbourne Square – $2.8 billion and 621 rooms
  • Crowne Sydney Hotel Resort – $2.2 billion and 350 rooms

Breakdown by regional locations

Mixed-use developments have slowly become more popular in regional locations. The number of developments almost doubled over the last 3 years.

In 2019–20 there were 37 projects in regional destinations. These were valued at $11.8 billion, with the capacity to add 6,900 rooms. Some key mixed-use developments in regional Australia include:

  • Ella Bay Development in Northern Queensland – $1.4 billion and 860 rooms
  • Silkari Resort in Avondale, New South Wales – $1.0 billion and 290 rooms

Breakdown by project phase

Most mixed-use developments were in the planning phase. There were a total of 89 projects in this phase. They were valued at $31.0 billion, with the potential to add 17,900 rooms.

Forty-five more projects were under construction, valued at $22.3 billion, adding 10,000 rooms.

Fifteen mixed-use projects were completed in 2019–20. These projects were valued at $1.8 billion and introduced 2,300 rooms into accommodation supply.

Twelve projects valued at $1.9 billion were deferred and 7 projects were abandoned. These 19 projects had the potential to add 4,600 rooms to accommodation supply.