Sunshine Coast Council has approved the first project under its Accommodation Hotel Incentives Package, giving the green light to a luxury hotel project in the heart of Caloundra.
The Holiday Inn and Suites Caloundra project will comprise shops and cafes at ground level, restaurant and hotel amenities on level one, 160 suites over levels 2-10 and a rooftop restaurant and bar with outdoor dining and function rooms on level 11.
Located at 51-55 Bulcock Street, it is the first development application approved under the incentives package that was introduced as a Temporary Local Planning Instrument to attract upscale international-branded hotels and boost the region’s economy.
Sunshine Coast mayor Rosanna Natoli said the approval was a significant step in the right direction.
“It’s exactly the kind of outcome we had hoped for when we introduced the Accommodation Hotel Incentives Package,” she said.
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“It’s a positive start – a new wave of upper-market investment, jobs and opportunity for our region.
“We’ve listened to the business community, we have acted and now we’re seeing the results.”
The proposal was first submitted to the council in June last year on behalf of Felix Capital and IHG Hotels and Resorts.
The 1999sqm site is currently occupied by a two-storey commercial complex that was sold for close to $10 million in 2022.
Cr Natoli said the project would help meet the growing demand for high-quality accommodation, while also boosting demand for local experiences.
“We know we’re missing out on high-value visitors because we simply don’t have enough upscale hotel rooms,” she said.
“This approval shows that with the right initiatives in place, we can unlock the kind of development that benefits our whole community, from local businesses to hospitality workers and beyond. We’re building momentum, and the future is looking bright for the Sunshine Coast.”
It is estimated that one upscale hotel will provide $29.5 million in annual visitor spend, 422 jobs during construction and 165 ongoing roles once operational.
Deputy Premier and Minister for State Development, Infrastructure and Planning Jarrod Bleijie said he encouraged more investment across the state.
“The Sunshine Coast needs more hotel beds and I was pleased to support the council’s hotel package in Caloundra and Maroochydore,” he said.
“Delivering more hotel rooms like this will support the Sunshine Coast as it hosts multiple Brisbane 2032 Olympic and Paralympic Games events.”
