Mirvac unveils $125m Pilbara development

Property developer Mirvac has announced a revised plan to build a $125 million hotel and residential project in Port Hedland, which will become the cornerstone of the Spoilbank Marina precinct.

The 178-room, $50 million hotel will cover 1.58 hectares of vacant land adjacent to the old Port Hedland Hospital on oceanfront land on Sutherland Street.

The hotel will include a fine-dining restaurant, bar, café and function space, as well as conference facilities, a gym, a guest pool and extensive gardens.

Mirvac also plans to construct 116 new residential dwellings in addition to the hotel development, at a cost of $75 million.

A total of 44 villas will be constructed on the remaining 1.29 hectares of development land on Sutherland Street, with another 72 on 3.26ha on Moore Street.

Town of Port Hedland mayor Kelly Howlett said the project had been identified as a top priority by the town council and the state government.

She said a lack of accommodation was highlighted as an urgent issue in a recent city growth planning forum.

“It’s great to see the state government support the Town of Port Hedland in addressing existing issues surrounding accommodation, economic diversity, as well as long term sustainability of the town,” Ms Howlett said.

The redevelopment of the Spoilbank Marina precinct is one of the Port Hedland council’s top priorities, and the hotel development will highlight the potential off the area, Ms Howlett added.

Mirvac Western Australia chief executive Evan Campbell said the project would be a significant boost for Port Hedland, providing much needed accommodation to service the booming resource sector.

"We are very excited about this opportunity and we look forward in coming weeks to gaining final board approval and finalising all the contractual agreements with Government required to make this happen," he said.

 "There is strong demand for residential accommodation and a hotel such as the one proposed will go a long way towards satisfying the significant shortage of hotel rooms in Port Hedland."

A hotel development at the site was first flagged in November 2007 by the state government, after then-planning and infrastructure minister Alannah MacTiernan announced Mirvac as the project’s preferred proponent.

Mirvac’s original proposal was for a $100 million, 116-room, four-star plus hotel with serviced apartments and conference facilities for the 2.87ha site.

Mirvac also flagged the development of more than 50 apartments and small single home lots as part of its original plan.

It is understood the original proposal experienced delays because of dust and zoning issues.