Observation City redevelopment plans revealed

Ambitious redevelopment plans for Scarborough's landmark Rendezvous Observation City site have now been lodged with the City of Stirling for development approval.

As revealed by WA Business News last year, an upmarket, eight-level boutique hotel is planned for the southern end of the site fronting West Coast Highway and Scarborough Beach Road.

The $120 million plan, designed by planning and architectural firm HASSELL, features a 142-room hotel, function and meeting facilities, a restaurant, café and an elevated 'infinity pool' facing the beachfront.

The existing 18-storey hotel will be completely gutted to incorporate 102 one, two and three bedroom apartments alongside resident tennis courts, a gymnasium and pool.

Four penthouses are proposed for the top two levels of the apartment tower, with a further 10, two-storey townhouses earmarked for the north western part of the site.

A two-storey commercial component is also proposed for The Esplanade comprising retail, restaurant, gymnasium and day-spa uses.

The Observation City Hotel became the Singapore-based Straits Trading Company's first property acquisition in Australia when it paid $45.5 million for the complex in March 1994, significantly less than the $140 million entrepreneur Alan Bond spent to build it in the wake of his 1983 America's Cup win.

With Observation City's glory days long over and stringent five-star hotel standards harder to maintain, it is understood The Straits Trading Company had little choice but to start from scratch.

It has twice refurbished the 333-room hotel, the last makeover occurring in 2005.

The Straits Trading Company president and chief executive Norman Ip said the proposed development would create a vibrant and friendlier foreshore area.

Mr Ip said the plans were in keeping with the City of Stirling's Master Plan for the area and its Scarborough Environs Area Strategy.

"We have been liaising closely with the City of Stirling and other stakeholders to ensure this redevelopment meets with the government and community's expectations for such an iconic location," he said.

"We believe the redevelopment will be the catalyst for an entire revitalisation of the Scarborough precinct - making it a premier destination for residents, beach-lovers, tourists and the general community."

The City of Stirling is now considering the plans with public submissions encouraged by a March 28 deadline.

The first artist's impressions are available on the redevelopment website at www.observationcitysite.com.au, or at www.stirling.wa.gov.au under the community consultation link.

An announcement from Straits Trading Company Ltd is pasted below:

Detailed plans for a total transformation of Scarborough's Observation City site have been lodged with the City of Stirling for development approval.

Site owners, The Straits Trading Company Limited, believe the $120 million redevelopment will inject much-needed new life into the area, making it a popular year-round destination for locals, residents and tourists alike.

Under the proposal, an upmarket, eight-level boutique hotel will be built on the southern end of the site fronting West Coast Highway and Scarborough Beach Road.

The existing Rendezvous Observation City Hotel will comprise 102 luxury one, two and three bedroom residences, with resident tennis courts, a gymnasium and pool. A further 10 townhouse-style residences will be constructed on the north western part of the site.

The Straits Trading Company President and Chief Executive Officer Norman Ip said the proposed development - which also includes two levels of restaurants, cafes and life-style shops and retail outlets along The Esplanade - would breathe new life into the Scarborough community and create a vibrant and friendlier foreshore area.

"We believe the redevelopment will be the catalyst for an entire revitalisation of the Scarborough precinct - making it a premier destination for residents, beach-lovers, tourists and the general community," Mr Ip said.

"The area will be more family friendly and offer cafes, shopping and recreation opportunities - and of course provide a perfect gateway to a world-class beach."

Mr Ip said the enhanced local area, new hotel, residences and commercial uses will create terrific opportunities for the local economy as well as a more diverse experience for the community.

"The economic opportunities of this development for Scarborough and the wider local area can't be underestimated."

"The new boutique hotel is a significant investment in the tourist economy of Scarborough, encouraging more local, interstate and international visitors to the local area."

"This, coupled with the planned new commercial uses on offer, will further provide unheralded local employment opportunities and increased viability for local businesses."

Mr Ip said the plans were in keeping with the City of Stirling's Master Plan for the area and its Scarborough Environs Area Strategy.

"We have been liaising closely with the City of Stirling and other stakeholders to ensure this redevelopment meets with the Government and communities' expectations for such an iconic location."

"We're confident that the proposed development will further enhance the City's investment in public infrastructure along the Scarborough beachfront," Mr Ip said.

The plans, which were developed by leading planning and architectural firm HASSELL, are now being considered by the City of Stirling.

The first artist's impressions of what the redevelopment will look like have been released and are available on the redevelopment website at www.observationcitysite.com.au

The Straits Trading Company is a listed company on the Singapore Stock Exchange that includes Rendezvous Hotels International Private Limited in its diverse group of subsidiaries and associated companies.

It was incorporated in Singapore on 8 November 1887. Backed by 119 years of prudent business management, the corporation is a very successful investment holding company with business interests spanning the Asia Pacific region.

In Australia, the company has long-established investments in hotels and hotel management, real estate, mining resources and quoted securities.

The company has a history of responsible property and hotel developments that demonstrate outstanding commitment to best practice in urban planning, design and environmental management.

The Rendezvous Hotels and Resorts International group currently operates across 12 centres in the Asia Pacific region including Perth, Broome, Adelaide, Melbourne, Sydney, Brisbane and Port Douglas.