Hilton (brand) returning to MEL

[Moopere]

It's kind of frustrating to see that most of the new hotels being developed in Australia are low-end rather than captivating 5 star properties.

Yes, I've been thinking about this too, particularly after Hilton abandoned MEL leaving it with only a DT. Seeing other DT's popping up around the country, including 1 almost complete in PER on the river foreshore and another apparently coming in Northbridge, whilst the old (old!) Hilton Parmelia is still with us over here, I suspect it won't last long once the new DT opens up later this year.

... I have a theory. There just isn't enough margin in the proper "5 star" Hilton in Australia. To get the margins probably desired, the rooms need to be sold off ala SYD, $300-400 a night base ... DT's seem to be calling anywhere from $150-250/night, which is pretty much exactly where the Hiltons (in MEL particularly) used to be, price point wise. I'm guessing, and it is a complete guess, its cheaper to operate a DT than a Hilton (?)

My experience in China and SE Asia has been that DT's outperform Hiltons in Aus, from a customer experience perspective anyway. The Hiltons and Conrads in the same areas are significantly more expensive than the DT and come with appropriate gobs of extra polish - we just don't seem capable of providing this in Australia. Whether its cultural or budgetary, its hard to know. But ultimately, if the best you can do is provide a fairly middle of the road 'DT Experience', well, you might as well operate DT hotels then (smile).

** Incidentally, before I go, I should mention, The staff at Hilton PER are the best in the country, in my view. Its a real pity that the property itself is now so starkly showing its age.

 

[boomy]

The DT I suspect is only really doing as well as it is because its the only Hilton in town. That area of the CBD has been in dire need of a refurb for at least 25 years or more. Its grubby, quite decrepit, and full of $1 style shops. Luckily for the DT, its only a relatively short walk to Southbank.

Actually DT used to do well also in the HSW days, because of the location. Hilton loyalists who come to do business or just holiday in the CBD usually look for for convenience and the DT is close to many office buildings as well as public transportation, unlike HSW which was located in less desirable part of town, especially at night.

 

[pauly7]

The DT I suspect is only really doing as well as it is because its the only Hilton in town. That area of the CBD has been in dire need of a refurb for at least 25 years or more. Its grubby, quite decrepit, and full of $1 style shops. Luckily for the DT, its only a relatively short walk to Southbank.

As for King st.... well it _used_ to be a really vibrant night club area 30 years ago when I lived in MEL. Those clubs are long gone now, at least 20 years and more, and, tbh, they were a thing of their time, wouldn't suit the current fashion. Once they closed though, the whole area became more than just a bit dodgy. I haven't been a resident for too long now, don't really know what its like nowadays, but I suspect, like a lot of the south end of town, it could use a bit of spit-n-polish.

That end of town is really being developed up quickly thankfully. The stretch between King and William seems to open a new cleaned up establishment every couple of months especially around Collins street. There is a massive new We Work opening in a few weeks in the beautiful 401 Collins street building - and a amazing looking new restaurant called Natural History - billed as a more ‘accessible cooler’ Rockpool has opened in same building too - they’ve dropped a bomb on the fit out, my mate works 2 doors down and says it’s great - I’ve booked in to check it out so will post a review in the Melb restaurant thread!

So that end of town is quickly picking up finally, huge construction on corner of Collins and King too of course to complement. Would make total sense for them to drop a hotel there nowadays.
Even Elizabeth street near flinders st station is being cleaned up, used to be dead at night but they opened a big Betty’s Burgers there and a few doors up another casual restaurant has big coming soon signs too!

 

[penegal]

unlike HSW which was located in less desirable part of town, especially at night.

Finally !?!

TBH, I never understood the AFF obsession with that property. It was always poorly located IMHO, and only useful if attending a convention. Scuttlebutt says the new Novotel down there had a bumper first week, and then has enjoyed occupancy down near ~30% ever since. Not a great start.


Re: King Street, it's an interesting time. The Grollos fairly publicly wanted to buy huge tracks of it and lead the CBD West revival, but that's been quiet of late. Significant re-development between William and Spencer has already seen some gentrification, likely with more to come.

 

[serfty]

I never understood the AFF obsession with that property.

It had a Lounge! And when it opened ther Hotel was better in most overall areas than the HotP.

I suspect this forced the latter to "pull their socks up" to a large extent and soon enough it became mine and +1's preference. Then it became a Pullman ...

 

[boomy]

Finally !?!

TBH, I never understood the AFF obsession with that property. It was always poorly located IMHO

It had a Lounge! And when it opened it was better in most areas than the HotP.

For me it was suite upgrade EVERY time (I stayed there quite often), the lounge was convenient for dinner when traveling solo, decent breakfast at the restaurant and free parking near by. Since I rent car most of the time in MEL the poor location didn’t bother me, it was actually more convenient than most CBD hotels.

 

[moa999]

then has enjoyed occupancy down near ~30% ever since

Maybe new owner might crawl back to Hilton

 

[JessicaTam]

Maybe new owner might crawl back to Hilton

Penegal was referring to the newly constructed Novotel, as opposed to the PanPacific next door

 

[Lord_Lenny]

Actually DT used to do well also in the HSW days, because of the location. Hilton loyalists who come to do business or just holiday in the CBD usually look for for convenience and the DT is close to many office buildings as well as public transportation, unlike HSW which was located in less desirable part of town, especially at night.

Yep, I used to do regular twice monthly Melbourne trips either solo or with a colleague or 2. If I was flying solo I'd always stay at the Double Tree. Much easier to be based centrally and then rely on taxis if I needed to travel.

That said when we did travel as a group and hired a car HSW was much easier to drive to and park at. Nice lounge too

 

[TomVexille]

Re: King Street, it's an interesting time. The Grollos fairly publicly wanted to buy huge tracks of it and lead the CBD West revival, but that's been quiet of late. Significant re-development between William and Spencer has already seen some gentrification, likely with more to come.

I read an article the other day that suggested that they now own everything between Collins and Flinders Ln and have plans to create a King St Precinct.

 

[mhossen]

Word on the street is Curio at 468 Bourke St. No idea on timeline or announcement as yet.

 

[JessicaTam]

Word on the street is Curio at 468 Bourke St. No idea on timeline or announcement as yet.

I am at the DT soon, so will ask if they know anything.

 

[mhossen]

I am at the DT soon, so will ask if they know anything.

Yup, I was there last night and that was the suggestion. Nothing set in stone, but the building is owned or leased by JLL, who currently run the DT, so it kind of makes sense.

 

[rattler]

Anyone knows of any plans of DT or Hilton in Canberra?

 

[JessicaTam]

Yup, I was there last night and that was the suggestion. Nothing set in stone, but the building is owned or leased by JLL, who currently run the DT, so it kind of makes sense.

I was told the same thing by the DT front desk staff.

 

[mhossen]

I was told the same thing by the DT front desk staff.

They’re a friendly bunch. I was just in to have a look around and they offered me cookies and drink vouchers since they found out I was diamond.

 

[JessicaTam]

I was at the DT this week and had a good chat about what was happening. For now it seems there is a property on Bourke St that is being redeveloped. Initially <100 rooms in the current building and then a tower to be built to add a couple of hundred more. The staff believe it will be a Hilton branded property.

 

[melb78]

Time will tell. Never believe what they say till the hotel announceds

 

[coolumbla]

Doesn't really matter to me anymore
Have moved on from Hilton to a chain that has hotels in it in Australia

 

[kermatu]

Doesn't really matter to me anymore
Have moved on from Hilton to a chain that has hotels in it in Australia

If it wasn't for status matches keeping me at Diamond for now and the next (hopefully) two years I'd be an infrequent Hilton stayer these days. Lack of properties in Oz a factor. Qualification requirements also steep. LeClub much better in both respects for me.