A developer is offering to pay for the final stage of a controversial foreshore redevelopment as part of its proposal to add two more levels to its already-approved 14-storey hotel project.
Aria Property Group has submitted an application to Sunshine Coast Council seeking a change to the current approval to increase the height of the development and provide for an additional 50 hotel rooms.
A planning report says the developer is offering to fund Stage 3 of the Mooloolaba Foreshore Revitalisation Project because there is insufficient funding for it and it wants assurance the public parkland construction will not “compromise the opening and operation of the hotel”.
The original proposal for the 2588sqm site at 1 Mooloolaba Esplanade, Mooloolaba, was submitted in 2019 and approved by the council in 2021.
Those plans allow for the development of a resort complex with 151 units, 46 residential apartments, a food and drink outlet, bar and shop.
The development assessment report, by Project Urban on behalf of Aria Property Group, says the developer is now proposing to add 50 units to the resort complex, bring it to a total of 201 units, in addition to the 46 apartments and other facilities.

The updated building would comprise 16 storeys plus a rooftop area, bringing it to a total height of 69.85m.
The ground level would be raised by 1.5m for improved integration with the foreshore project, due to its revised seawall height of 5.95m.
“The current development approval no longer aligns with the updated foreshore design, due to the increased height of the newly proposed seawall,” the report says.
“Without adjusting the ground floor podium to sit above the seawall height, the approved design would result in a ‘canyon effect’ along the foreshore – an outcome that is visually unappealing and potentially detrimental to the public realm.”

The planning report also offers more explanation of its offer to fund the third stage of the foreshore project.
“Aria understands from pre-lodgement meetings and discussions with council and government that there is insufficient funding to complete the Mooloolaba Foreshore Revitalisation Project, specifically the Southern Parklands and Stage 3, which fronts the development and adjoins the Mooloolaba Surf Club,” it says.
“The prominence of the Southern Parklands to the surf club, flags, beach, connector to the boardwalk and The Wharf is vital for the revitalisation of the Mooloolaba precinct.
“These external works are critical to delivering a five-star international standard hotel outcome for the site and surrounds.”
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“In order for Aria to deliver the project, Aria needs assurance that the construction works for public parkland are undertaken in a timely way and do not compromise the opening and operation of the hotel. If the hotel were to open while construction works on the foreshore are still underway (or were to occur once the hotel was operational), it would significantly hinder the hotel’s success within the community. Guests would encounter a suboptimal experience due to ongoing construction activity, which would negatively influence public perception of both the hotel and the surrounding area.
“As the Sunshine Coast’s first five-star hotel in 34 years, the visitor experience in Mooloolaba is especially critical. Disruptions caused by limited foreshore, cycleway, beach access and construction noise or visual impacts could deter tourism, reducing foot traffic and revenue not only for the hotel but also for surrounding businesses.
“To enable Aria to proceed with confidence on this landmark development, Aria is putting forward a proactive and collaborative solution regarding the foreshore interface. Aria proposes to fund and deliver the Southern Parklands and Stage 3 components of the foreshore works – an investment valued at $6.6 million, based on an independent quantity surveyor’s estimate.
“Aria offers to enter into an infrastructure agreement to secure these works. This outcome will provide substantial community benefit by delivering the Mooloolaba Foreshore Revitalisation Project works at no cost to the community and well ahead of likely schedule if undertaken by council.”
The report also details some other proposed changes to the hotel.
“As part of the design review, a more detailed consideration has been undertaken of the hotel elements necessary to achieve an optimal international five-star hotel standard,” it says.
“This has included rooftop amenities, hotel facilities, ceiling heights and allowances for structural and services transfer within ceilings.

“This has identified that the top 50 best rooftop pools in the world (as published January 2024) all have equitable flush access to pool and landscape areas, have expansive unobstructed views, with infinity edge to pool, have poolside lounging and access to shade.”
The gross floor area of the updated designs is 23,571sqm, up from 20,292sqm.
The number of car parks would decrease from 334 to 286.
An economic benefit assessment prepared by Urbis says the project would have a total construction investment of $252 million and create 513 jobs a year during construction, reducing to 195 jobs once operational.
The application includes expressions of interest from hotel operators Accor, Hyatt Hotels, Marriott International and IHG Hotels and Resorts.
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Under the current planning scheme the site is included in Mooloolaba/Alexandra Headland Local Plan Area and the Tourist Accommodation Zone.
The proposed height increase would trigger impact assessment, meaning it would go to public notification.
The original 2019 development approval provided a currency period of six years, which was extended by two years under Covid provisions, meaning it now runs until September 2027.
The site is diagonally opposite the surf club and is currently occupied by single-storey small-scale commercial uses.
Aria Property Group is a privately owned Brisbane-based property development company that started in 2003.
Sunshine Coast Council was contacted for comment.