The construction of a $250 million luxury hotel on the Darwin Waterfront will enhance the popular precinct, create hundreds of ongoing jobs, boost tourism and become a destination in its own right.

Chief Minister Adam Giles says the development of a world-class hotel will be a “game changer” for tourism in the Top End.

The Chief Minister recently signed a binding heads of agreement for the project to go ahead.

The hotel will be developed on waterfront land comprising part of the former Toga site, recently returned to Government after 18 months of negotiation.

“The agreement will deliver the Government’s objective to meet unsatisfied demand for luxury accommodation in Darwin through a vibrant, integrated development of world-class standard,” Mr Giles said.

“The deal builds on the strategic partnership between the Government and Landbridge, and reflects both parties’ keen commitment to the ongoing economic growth and development of the Northern Territory.

“The development is set to boost the economy, act as a drawcard for increased high-end business and leisure visitors, and give Darwin a significant edge in the lucrative business conference market.

“Commencement next year will surpass the Government’s target three years early to build a $2.2 billion visitor economy by 2020.”

The project will also mark Starwood Hotels & Resorts’ debut in Darwin through the introduction of its Westin brand to the Northern Territory.

The Government recently announced that as a direct result of stakeholder and community feedback, the development will not be located on Jervois Park, which will remain as public open space.

Construction is expected to begin next year for completion by 2020.

In addition to offering 2.9 hectares of the former Toga land for the development, the Government has agreed to provide up to $10 million towards connecting services to the site.

Landbridge has also been offered an 18-month call option over an additional 1.5 hectares of the former Toga land on commercial terms.

The Government will not provide any support towards the hotel’s ongoing operations.

“The luxury hotel development is expected to provide a significant economic boost and generate more than 500 jobs during the construction phase and hundreds of ongoing jobs when it opens,” Mr Giles said.

“It will be the anchor tenant to drive increased growth in Asian tourism to the Northern Territory.”