Regional accommodation push

Western Australia’s buoyant tourism industry is about to receive a welcome boost, with more than $288 million worth of tourism accommodation projects currently under construction across the state.

A total of 2,045 lettable units will be added to tourism accommodation across the state, according to Tourism WA’s Tourism Accommodation Development Register.

On top of this, more than $1 billion worth of tourism accommodation projects are currently in the planning stages, subject to planning and government approvals, potentially adding 7,000 extra rooms.

Accommodation development in the South West has recorded the strongest growth of any part of the state, reflecting the region’s status as WA’s favoured holiday destination.

17 project are currently under construction in the South West, including Stage 2 of the $40 million Saville Hotel development at the former Bunbury Silos site, with a further 39 projects in the planning stages.

Construction of the $35 million Cowaramup Bay Resort is currently pegged for December 2007, subject to approval, with both the Geographe Bay View Resort expansion and the $30 million Gnarabup Beach Resort also awaiting approval.

Eco retreats and boutique hotel developments are on the rise in the South West, most notable among these being the proposed $52 million Hilton Eco Resort and Spa development in Yallingup.

But some developers have targeted locations away from the traditional South West wine region holiday hot-spots.

Developer Rapley Wilkinson, the company behind the Footprints resort developments at Preston Beach in Waroona and Binningup, has tapped in to the short-break tourism market.

Project manager Darren Staunton said the company’s unique choice of location was aimed at the long-weekend holiday makers looking for a relaxing beach holiday, easily accessible from the city.

“They’re close to the beach, and reflect a trend towards laid back, shorter term holidays in close proximity to Perth,” he said.

Despite record high hotel occupancy rates in the CBD, the Perth metropolitan area has seemingly been snubbed by developers.

While there are 14 projects under construction and a further 26 projects planned for the Perth region, only one – the Seasons hotel refurbishment and addition project – is located in the Perth CBD.

Tourism Council of WA chief executive Ron Buckey said he was concerned at the lack of hotel developments planned for the CBD, with the influx of business tourists contributing to the high occupancy rates.

“We would like to see more hotel-style accommodation to help the city progress as the mining boom continues. It’s also the first point of entry for tourists who are seeking good quality accommodation at a reasonable price,” he said.

Mr Buckey also expressed concern over an oversupply of South West accommodation, citing occupancy rates for hotels in the Busselton area as low as 48 per cent in off-peak times.

Mandurah continues to boom, with three major projects worth almost $100 million in the planning and construction phase. Broome is another hot spot, with a total of 10 projects worth $115 million in either the planning phase or under construction.

Tourism Minister Sheila McHale praised the number of eco-friendly projects in sensitive locations, including Eco Beach near Broome, the Karijini Eco Retreat and Broadwater's Abrolhos Islands development.