Construction of the Hotel Verge could start as soon as August after City of Launceston approved the development on Monday.
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The 86-bed hotel on Cimitiere Street is being developed by Stay Tasmania, which hopes to have the hotel finished by mid-2019.
Stay Tasmania managing director Lyndon Jago said he was pleased with the development’s approval.
“We’re happy that we were able to take public comment on board and redesign and produce a much better result, which we would say now has a much better social licence to be constructed,” Mr Jago said.
“It was critically important that the community liked the design.”
The initial hotel design, advertised last year, attracted backlash from the public. The developers withdrew the application, resubmitting a new design in January.
Mr Jago said redesigning the hotel had not been cheap, but was worthwhile.
“What has been spent is really irrelevant to the gains that we have made,” Mr Jago said.
“We have effectively had two representations, as opposed to 17 the first time around, which speaks volumes for the redesign.”
Senior project manager Sam Tucker said it was exciting the project had finally got approval after nearly two years of work.
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The development has been welcomed by Harvest Launceston’s president Simon McInerney .
“From out point of view it’s really quite exciting. It not only enables locals on our doorstep, but also tourists as well,” he said.
“Anything within the tourism and hospitality industry that gives us a step up to showcase all of the Tasmanian produce that we have is good.”
Mr McInerney said the market had been in talks with the developers and council throughout the application stage.
“We are going to endeavour to stay at that site, and that’s what we foresee happening,” he said.