Alfasi Property Development has submitted a $30 million development application for its Sussex Street hotel in the CBD.
The development includes a 143-room hotel designed by Fitzpatrick and Partners. There will also be a conference room and retail on the ground floor. Apartment group Quest has already committed to the building at 65-79 Sussex Street, which sits near Lend Lease ‘s $6 billion Barangaroo development.
Alfasi, which expects to finish the building in 2017, has also put the site up for sale through Knight Frank. Price expectations are close to $70 million and the expressions of interest campaign was due to finish on November 7.
Quest will sign a new 21-year commercial lease for nearly all of the 6839-square-metre building with two further terms of seven years. The net passing income, once completed in June 2017, will be more than $5 million.
The hotel will have two elements, an east wing facing Sussex Street that is six storeys high and a west wing facing the Western Distributor that is seven storeys. The development requires local environmental plan amendment to achieved its proposed extra height. The heritage Bristol Arms Hotel will also be included on the site.
The Bristol Arms at 81 Sussex Street sits in the vicinity of the site and the -proposed development uses the north wall of the Bristol Arms Hotel as a backdrop to the hotel lobby, according to the development application.
The floor plate areas will be about 872 square metres for levels 1-5, -comprising 24 rooms , and 556 square metres for levels 6-7, comprising about 15rooms.