Port Arthur hotel ire
THE body charged with maintaining Port Arthur historic site has expressed frustration at Federal Group dragging its feet on building high-end accommodation it promised in 2004.
The Port Arthur Historic Site Management Authority met Federal Group yesterday to find out what was planned and when it would happen.
Before the meeting, chair- woman Sharon Sullivan told MLCs quizzing the authority as part of annual government business hearings that commercial developers were holding back from committing to building other accommodation at Port Arthur until Federal’s plans were clear.
“It is uncertain for commercial interests that want to develop down there, if they don’t know whether Federal is building a big hotel or not and, if so, when,” Professor Sullivan said.
Federal yesterday reaffirmed its commitment to develop luxury accommodation at Port Arthur but said the timeline and scope were unknown.
Federal corporate and regulatory affairs manager Daniel Hanna said it was “in the process of considering how some of our market and product testing will inform and refine our plans for the site”.
“We know people want to see this project go ahead quickly but it is equally as important that we get it right,” Mr Hanna said.
“Port Arthur historic site and the Tasman Peninsula are special and to get it right we need to test a range of concepts with the market before finalising any plans.”
Federal Group bought the Port Arthur Motor Inn in 2004 and has released plans for highend accommodation for the site since its first design concepts were published in 2006.
The most recent iteration was a $25 million luxury hotel.
Federal has at times tied the development to retaining its monopoly on Tasmania’s poker machines. However, in 2016 the company committed to building the hotel regardless of its licencing arrangements.
Port Arthur Historic Site Management Authority chief executive Stephen Large said he was “frustrated”.
“Port Arthur Villas might take up some of that [affordable] market, but we really need another 50- to 60-room development somewhere close to Port Arthur,” Mr Large said.
“… really, the industries and possible investors are waiting for a decision by Federal Hotels on that particular development. That has an impact either way on what happens in the future.”