$145m Hotel Development Approved for Kent Street

$145m Hotel Development Approved for Kent Street

July 1, 2025

3D model of Sydney CBD showing the proposed hotel development at 301–305 Kent Street highlighted in red, near Darling Harbour.

Romanous Developments has secured planning approval for a concept hotel development at 301–305 Kent Street and 35–39 Erskine Street, Sydney. The NSW Department of Planning, Housing and Infrastructure granted consent on 30 June 2025 for the $145.7 million project, paving the way for a future high-rise hotel in the city’s western CBD.

Proposal Overview

The approved State Significant Development (SSD) concept application establishes a building envelope for a future hotel development in Sydney CBD with ancillary retail. The proposal permits a maximum building height of 108.8 metres (RL 120.66), hotel and retail land uses, a gross floor area of up to 13,004 square metres, and five basement levels for parking and servicing. Vehicle and pedestrian access will be provided from Kent Street. The detailed architectural design will be subject to a future Stage 2 development application in Sydney to the City of Sydney Council.

Artist impression by Make Architects

Background of the Proposal

The site consists of multiple lots currently occupied by low-rise commercial buildings at 301–305 Kent Street and 35–39 Erskine Street. The Kent Street frontage includes a three-storey brick commercial building, while the Erskine Street frontage features a row of two-storey commercial terraces. These buildings are not heritage listed, but the site is adjacent to several heritage items.

It is located on the western edge of the Sydney Central Business District, close to public transport including Wynyard Station and the new Sydney Metro infrastructure.

A previous State Significant Development (SSD) approval (SSD-9694) was granted in 2020 for an 80-metre hotel tower. However, recent planning control updates under the Central Sydney Planning Strategy allowed for increased height limits. The current application seeks to maximise development potential within the new planning framework for Sydney CBD.

Site Location by Make Architects

Planning Framework & Compliance

The proposal is permissible under the Sydney Local Environmental Plan 2012 and complies with the objectives of the B8 Metropolitan Centre zone. It was assessed under Section 4.38 of the Environmental Planning and Assessment Act 1979 as a State Significant Development.

Although certain elements of the building envelope depart from the Sydney Development Control Plan 2012, the project demonstrated acceptable urban design performance. Wind, daylight, and visual amenity impacts were tested through modelling and found to be consistent with the intent of the controls.

Design

The approved concept establishes parameters for a future commercial tower in Sydney CBD, including a podium that addresses both Kent and Erskine Streets. The tower form provides appropriate setbacks for solar access and wind comfort. Indicative concept plans by Make Architects suggest a visually articulated design to reduce perceived bulk and enhance street presentation.

The development will aim for a 5 Star NABERS Energy rating and a 4 Star NABERS Water rating for hotels. The building envelope supports natural ventilation, energy efficiency, and improved walkability in line with current sustainable design principles.

Reasons for Approval

The NSW Department of Planning, Housing and Infrastructure identified several reasons for supporting the proposal. The project will deliver economic and tourism benefits, including 240 construction jobs and 70–80 ongoing hotel jobs. It aligns with the strategic planning vision for Sydney CBD, particularly around mixed-use redevelopment and urban renewal.

No public objections were received during the exhibition period. Matters raised by the City of Sydney Council and referral agencies were addressed through amended plans and recommended conditions. The Department concluded that the proposal represents a high-value, appropriate land use in the evolving Sydney city centre.

Next Steps

As this is a Stage 1 Concept Development Application, no physical works are approved at this stage. The developer must submit a Stage 2 Detailed Development Application to the City of Sydney Council. That application will seek consent for demolition, excavation, design, and construction of the future hotel. Conditions of approval also require the surrender of the prior SSD-9694 within 12 months of commencement.