Tourism Western Australia Chairman Kate Lamont today opposed plans to convert the Rendezvous Observation City Hotel into residential apartments.
Ms Lamont said she was particularly concerned that this proposal had been raised when Perth's hotels were at bursting point.
"Our State's economy is thriving from the benefits of the resource boom and increased tourism, so our hotels are overflowing with corporate and leisure travellers," Ms Lamont said.
"Independent research commissioned by Tourism WA shows that Perth requires an additional 270-300 rooms per year from around 2010 to keep up with demand.
"Hotel occupancies in Perth have averaged above 80 per cent over the past 12 months.
"Accommodation demand growth in 2005 and 2006 was the highest in 18 years."
Ms Lamont said while mixed commercial developments and boutique hotels were welcome additions to tourism precincts, in this particular case, it should not come at the short term loss of 333 deluxe rooms and a permanent net loss of 191 rooms on the Scarborough waterfront.
"The proposed development of a coastal residential enclave in this building is not in the public interest," Ms Lamont said.
"It will severely impact upon the vibrancy in the area, resulting in a loss of tourism activity for Scarborough and for Perth.
"This high rise building was originally approved on the seafront because it was a hotel.
A residential building of this scale would not have been approved at that time and it should not be allowed to revert to permanent residential use now."
"The Board of Tourism WA fully supports the Minister for Planning and Infrastructure, Alannah MacTiernan in her efforts to see common sense prevail."