Marriott plans AC Hotels' entry into Australia

Marriott International has signed an agreement with Melbourne-based property developer Capital Alliance to introduce the AC Hotels by Marriott brand to Australia.

The 200-room AC Hotel by Marriott Melbourne Southbank hotel is expected to open in 2020 as part of the 40-story mixed-use building The Normanby. The hotel will share the tower with apartments, dining venues and shopping. The property in the center of the Fishermans Bend neighborhood is near Melbourne’s city center and the Yarra River.

“Just a stone’s throw from the city, Fishermans Bend is going to redefine inner suburban living and the AC Melbourne Southbank will attract sophisticated and discerning travelers to the area,” said Mohan Du, founder and CE of Capital Alliance, in a statement.

The hotel will be Marriott's second major hotel deal with Capital Alliance. The first—Melbourne Marriott Hotel Docklands—is currently under construction. 

“We are thrilled to be collaborating with Capital Alliance to bring a new lifestyle brand to Melbourne and Australia,” Richard Crawford, senior director of development, Australia, New Zealand and Pacific for Marriott International. “The AC Melbourne Southbank underscores the growing demand we’re seeing in Australia for premium lifestyle hotels that offer style and functional design, as well as authentic and memorable travel experiences connected to the location.”

Marriott currently operates a portfolio of 18 hotels in Australia. An additional 17 hotel projects are in the development pipeline for the region. This includes the W Melbourne, which Marriott will develop in partnership with Daisho Development Melbourne and Cbus Property, scheduled to open in 2020. 

“Across Australia, we’re seeing growing demand for lifestyle brands like AC Hotels by Marriott, so we are delighted that we’ve found the right location and the right partner to bring this brand to market,” Sean Hunt, area VP of Australia, New Zealand and Pacific for Marriott International, said in a statement. 

Marriott is on track to reaching its target of opening 50 hotels across Australia, New Zealand and the Pacific region by the end of 2020. The group opened the 312-room W Brisbane, signed the 593-room W Sydney in June 2018 and signed the 235-room Le Méridien Melbourne in February 2018 with plans to open the hotels in 2020.