A major multi million dollar tourism project proposed for Healesville

The 104 acre site also has rear access from Heritage Lane. PICTURE: RENEE WOOD

By Renee Wood

A major tourism development is on the cards for Healesville with a 104 acre site proposed for a hotel and entertainment venue.

Winarch Capital, a regional developer specialist, has acquired the land at 11 Maroondah Highway, Healesville that was first earmarked for a Mandarin Tourism Park for accommodation and a golf course.

The developer recently formed the Cedar Mill Group which is delivering large projects such as this, dubbed ‘Cedar Mill Yarra Valley’.

The designs are still in the development stages but the project could see a hotel of up to 300 beds, function rooms, restaurants, arts and culture sites and gardens.

Winarch Capital and Cedar Mill Group CEO Kyle McKendry said the $200 million Yarra Valley project would follow similar lines as the Cedar Mill Hunter Valley tourism project – which includes a wine museum, 200 room hotel, amphitheater, distilleries and retail spaces.

“It’s a matter of getting the right ingredients tailored to the specific location, so our overall concept is very similar, but we spend time tailoring that for the local market,” Mr McKendry said.

“We’ll now embark on a journey to really drill down on your area needs and then tailor that concept specifically to that so it may change.”

The project is still a few years in the making but once construction begins, it’s hoped to bring up to 500 jobs and see 300 full time equivalent roles.

It’s also pitched as a major economy driver, looking to boost tourism dollars by millions.

Mr McKendry said data from the Hunter Valley site suggests it could deliver up to $60 million dollars to the economy.

“We’re bringing a bigger and better package that’s beyond us, because we’re not expert hoteliers but we can bring the expert hotelier with us – if we can attract the quality operators and if you concentrate that activity in a wine region then it only supercharges the local area, it brings more visitation and more spend, it just flows on,” he said.

The site went up for sale at the end of last year however, the group has been scouting the region for some time, while consultants have also been speaking with hoteliers and governments – with accommodation always coming up as a much needed item.

“There’s a need to have more rooms basically so they can get more overnight stays, because the overnight stays at the very minimum will triple your average spend per person if they’re staying overnight and having dinner and going to activities rather than just driving in and driving out.”

Providing more family friendly sites such as playgrounds, splash parks and gardens are other design elements discussed that will provide benefits for both locals and tourists.

Increasing entertainment in the Yarra Valley is another opportunity the venue could offer through a purpose built amphitheater, which would be part of the second stage of the project.

Although the region is already known for hosting large music events at Rochford Winery and the likes, Mr McKendry said the purpose built arena could see shows that hold more than 20,000 guests.

“We would have to look at the local sensitivities and what capacity can be accommodated there.

“In the next 18 months there’s Cat Stevens, there’s Bon Jovi – there’s international artists coming through that we would automatically attract if we were there because of the capacity, if it’s economically viable to do it.”

The group is creating a national network of amphitheater venues and its first is currently under construction in Lake Macquarie costing $50 million dollars.

Mr McKendry said music industry representatives have been part of the design stages for the concert arena, something that could be replicated in the Yarra Valley’s design.

“The promoters are very enthused about them as are their crew and the artists because we’ve taken onboard all their inputs to come up with these designs, so they’re eagerly awaiting their delivery.

“It makes for a better punter experience, a better artist experience and a better promoter experience.”

The plans are expected to be with council by the end of the year, with approvals to take several months before construction begins.