Announcing the agreement, Tourism Minsiter Kim Hames said that no new hotels have been opened in Perth since 2006 and only 223 new rooms have been added in the City in that time.
Crown Limited and the state government have struck an agreement that is expected to result in the development of a new 500-room luxury hotel at the Burswood Entertainment Complex and a substantial expansion of its gaming activities. The company said today it would spend $568 million on the six-star hotel, to be known as Crown Towers Perth. Construction of the hotel is due to commence in early 2013, and be completed in 2016.
The new hotel has been welcomed by the state goverment, which has introduced incentives to encourage investment in the sector. The hotel will be built on land currently owned by Burswood, as well as land to be acquired from the state at an expected cost of $60 million. The land is adjacent to the complex and currently part of the golf course.
Tourism Council WA chief executive Evan Hall described the new hotel as "the most significant tourism investment in over a decade."
"This is a major step forward in addressing the critical hotel room shortage which has been holding back leisure tourism in regional areas across the State," Mr Hall said.
"Many regional tourism destinations are suffering because we are turning away tourists who cannot find a room in Perth before travelling into the regions.
"The new hotel will increase the number of rooms available in Perth by over 8 per cent."