PRD Real Estate is planning to extend Karratha’s Best Western resort to cater for the city’s growing workforce, but the $150 million project requires leasing commitments from corporate players.
The proposed development involves adding 35 apartments to the existing Best Western Plus Karratha, which would bring the number of rooms at the resort to 108.
In addition, the Perth-based group seeks to build 1,288 permanent workforce accommodation units, resort staff accommodation, clubhouse and restaurant, along with a gym, tennis court and swimming pool.
The proposal is being touted as Karratha’s first sustainable accommodation facility, with 100 per cent of the development’s power to be generated from onsite renewable sources.
It will also include extensive battery storage, to enable it to operate off-grid.
A report prepared by Unlimited Energy Australia stipulates the proposed development will save between $2.5 million and $3 million on electricity costs and 3,000 tonnes of carbon each year.
PRD Real Estate managing director Angus Murray said the development would provide resources companies a chance to reduce their emissions as well as house their workers.
“Companies like woodside, BHP and Rio Tinto have large budgets for scope three emissions reductions and what we are offering is a meaningful opportunity for scope three reductions,” he said.
“It pays for itself over a six-year period because we’re not buying any energy, so it makes economic sense as well as being good for the environment.”
Scope 3 emissions refers to carbon emitted within companies' supply chains, which are required to be reduced under federal government’s climate change policy.
The existing Best Western resort. Photo: PRD Real Estate
Mr Murray added that the city was about to experience another boom, with projects including Woodside’s Pluto development and Perdaman’s urea plant in the pipeline.
“There’s going to be $20 billion of projects between Pluto and Perdaman alone, and the vacancy rate in town is already under 1 per cent and rent rates have risen considerably over the last 12 to 24 months and that’s before these projects have started,” he said.
“What we’re trying to do is add more permanent accommodation to Karratha.”
A regional Joint Development Assessment Panel approved the plans in late 2019, but the state government’s emergency COVID legislation meant all projects with pre-existing approval were granted a two-year extension to proceed.
This means the project would need to start this year.
Mr Murray said construction of the project would depend on demand.
“As customers agree to lease accommodation we will commit to build it,” he said.
“Construction will take 12 months; we have funding and approvals in place so can respond quickly to customer requirements.”
He added that he would like to see at least one large corporate lease a significant part of the project, which would mean other components could be offered to smaller local businesses.
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