This article is from the Australian Property Journal archive
EXCLUSIVE: DOUBLE Bay’s InterContinental Hotel is set to meet the wrecker’s ball and be replaced with a $1 billion precinct featuring luxurious apartments, a boutique hotel, dining, offices and cinemas, while a key site nearby is also set for a new life after being quietly picked up by a developer for around $40 million.
Billed as a “once-in-a-generation” lifestyle precinct by owners Capitel Group and Rebel Property, the InterContinental Hotel project could be a boon for the ultra-wealthy harbourside suburb. The outdated hotel – which has hosted the likes of Princess Diana, David Bowie and Elton John – sits on the largest privately held site in Double Bay Village, and has been subject to numerous concepts, schemes, ownership changes and refurbishments over the past 25 years.
Designed by Cox Architecture and led by project and development managers Metis Group, the plans for 33 Cross Street have now been put forward to Woollahra Municipal Council. The mixed-use building will comprise high-end retail and dining, landscaped open spaces, cinemas and community spaces on the ground floor, a 40-room boutique hotel, commercial office suites, a health and wellness centre, and a collection of 29 residences across the seven upper levels.
“Since the early 1990s, 33 Cross Street has served as a landmark hotel with limited civic connection beyond one street frontage, while the harbourside community has been transforming into a vibrant cosmopolitan precinct that we know people want to preserve and enrich,” said Rebel Property managing director Allen Linz.
“Our design creates an inviting, permeable street-level experience for all to enjoy, while preserving the site’s history with a new right-sized luxury boutique hotel.”
COX director Ramin Jahromi said 33 Cross Street said, “The façade’s glass light columns create a grand and visually stunning experience that draws inspiration from the illuminated fig trees framing the street-level entrance, adding to the site’s landmark status and enhancing safety and beauty at night.
“Community is really at the heart of the new design, with over 90% of the ground plane accessible to the public.”
The design also includes an atrium with a sculptural staircase and public art installation, a north-facing courtyard, and a six-metre-wide pedestrian walkway connecting Cross Street to Galbraith Walkway and down to Double Bay Beach.
The owners picked up the site earlier this year for more than $215 million, having been offered to the market at the beginning of 2023 with hopes of more than $230 million being spruced up by Fridcorp and Piety Group.
The joint venture owners had bought the hotel just over 18 months’ prior for $178 million from Chinese partners Zobon Real Estate Group and Shanghai United. Upgrades had included transformation of the bar and restaurant under the expertise of esteemed restaurateur Maurice Terzini, of Bondi’s Icebergs Dining Room & Bar fame.
Banks site set for development after $40 million sale.
Meanwhile, a couple of streets over on New South Head Road, a 1,138 sqm site anchored by big four banks Westpac and CBA has sold a year after being put to the market with a price guide in the order of $40 million.
Colliers’ Matt Pontey and Miron Solomons, together with RWC’s Grant Whiteman, managed the sale.
Sources confirmed to Australian Property Journal the property at 393-395 and 397-399 New South Head Road had sold in line with campaign expectations.
The new owner is a local developer with residential, mixed use and commercial developments along the eastern seaboard, and in Sydney’s eastern suburbs.
“They’re keeping their plans very close to their chest,” the source said, but added the site is likely to make way for a commercial development.
Elsewhere in Double Bay, celebrated chef Neil Perry has recently opened new fine-dining restaurants, including at Song Bird at Fortis’s 24 Bay Street, while last month the fully-leased five-storey commercial building at 377-383 New South Head Road sold under the hammer for $25.5 million. It had been put to the market the market under the instructions of receivers and managers KordaMentha through Colliers and RWC. It brings net annual rent of circa $930,000 from five tenants that include BeFit Training & Physiotherapy, Universal Health and @Workspaces.
