Four Seasons Hotel Perth

Calls grow for new five-star hotel in Perth

Property experts are calling for a five-star hotel operator to set up shop in Perth to improve the mediocre rates of return in WA and attract more investors.

Despite the high occupancy rates enjoyed by Perth hotel owners, return on investment is still a deterrent to up-market developers thinking about making a foray into the WA hotel industry, according to Colliers International head of project residential, land marketing and tourism, Nick DiLello.

The overall return rate on hotel property developments was at most 8 per cent and a high-end operator was needed to open a Perth operation and drive up room rates from their low base.

"We need a five-star-plus hotel here with 150 rooms up to 300 rooms," Mr DiLello said. "The highest five-star hotel room rate (in Perth) caps out at about $340 a night, which means operators below it need to be demonstrably lower. Until a new hotel comes into town and demands $600 a night then the rest of the market won't lift because a hurdle has not been set for everyone else to achieve."

He said Perth needed a "serious player who would emulate where this town is going in terms of the mining boom", such as those behind the new Hilton in Sydney or the Westin, Intercontinental or Four Seasons.

Mr DiLello said high-end developers were put off the Perth market by a lack of available capital, and a lack of availability of sites in the city and city fringe.

"The rev PAR (revenue per available room) is so low that land and development costs need to be really low to match it and they're not - that's where the issue is.

"All the stars are not aligning."

He said the State Government should lure the right brands through incentives such as a joint venture or low-value lease, while the City of Perth should offer bonuses on plot ratio or other development criteria.

"The State Government and Tourism (WA) need to grab a really good operator by the scruff of the neck and say, 'see this site over here, build a hotel on it. We'll give you a 20-30 per cent bonus (on plot ratio)', which takes the financial risk out of the front end, and you don't have to pay us until you are neutral in cost or expense.

Gourmet Tour In China | | TmTravelBlog.com

I found this tour and I think it looks really interesting. It is a 10-day gourmet tour to China features dining at outstanding restaurants in  Shanghai, Hangzhou and Beijing.

You will stay at the peninsula Hotel on the Bound in Shanghai, the new Four Seasons Hotel on west Lake on Hangzhou and the raffles Hotel near Tiananmen Square in Beijing.

The tour also includes drinks at sunset on the Great Wall, the Forbidden City and you will get to do some shopping at antique market. All of this sounds amazing. Have a look on V & A Travel and see what you think.

With love Therese:)

About

My name is Therese Nordtveit. I currently live in Perth, Australia with my husband Ivar. We are both Norwegian.

I have been working in the airline industry for many years now. I have had the opportunity to travel a lot and have seen some stunning parts of this beautiful planet.

I am almost born and raised on airports. My father worked for an airline for over 20 years. I hope this blog will be at help to you. Any question you have about travel or holidaying write to me, and I will answer as well as I can and if I don’t know the answer, I will find it out for you.

I’m working now on writing a travel book. It will contain a lot of funny stories from vacations and travels that I, my family or my friends have been on. There will be lots of stories from airports. Believe me I have some great stories to tell.

Hope you will enjoy my blog

Let’s go on holiday together.

Take Four

Hotel and restaurant design

Hotel

Hotel management and operations

Hotel Management and Operations