Wollongong City Council is committed to supporting existing businesses in our city to thrive, and understand growth and change is required for this to happen. However, as a consent authority, part of our role in assessing a Development Application involving a heritage building is to consider how proposed changes will impact on the values of the building.
We know that the process of working through a Development Application can be complex. Our priority in the assessment of this Development Application has been to strike a balance between the renovation of the building, and maintaining the legacy of its heritage form and character. We understand that it's important for the city to have a mix of the old and new, and that distinctive buildings and venues contribute to the city's identity.
We work within the NSW Government's planning legislation as well as Wollongong's own Local Environmental Plan and Development Control Plan when considering any Development Application. No one individual is responsible for the assessment of a Development Application, and each of our in-house subject matter experts contribute their knowledge into the assessment process. In addition, the assessment is peer reviewed before a determination is issued.
Through the assessment process, Council supported a range of significant changes to the building that would enable operational improvements for the business. Council also had many conversations with the team from the Illawarra Hotel, where we asked for additional detailed information about aspects of the proposal to inform our assessments. It is the responsibility of the proponent to demonstrate that issues can be addressed.
Council has determined the Development Application now and that decision will stand regardless of the newly launched petition. While the application was not approved, the determination provided advice about review and appeal pathways to enable the refurbishment of the Illawarra Hotel to be further considered.
Please note, below is an earlier statement from Wollongong City Council regarding the Illawarra Hotel Development Application.
Statement published Friday 3 October 2025
We're aware of some community interest in the recent Notice of Determination of a Development Application for the Illawarra Hotel.
Wollongong City Council is committed to supporting existing businesses in our city to thrive, and understand growth and change is required for this to happen.
However, as a consent authority, part of our role in assessing a Development Application is to consider how proposed changes manage the future structural integrity of the building, consider community needs and expectations and, if it's a heritage building, protects it for future generations.
Since May 2024, we have been working with the proponent on their DA-2024/357 and their plans that would see alterations, additions and the extension of the Hotel's trading hours.
Under their application, they proposed a number of alterations including the removal of all first and second floor accommodation options in the building, and the addition of a void area on the eastern and western ends of the second floor.
In summary, the DA asked for Council's approval to:
- Make alterations and additions across all levels of the Hotel
- Replacement of the ground floor kitchen with TAB area, replacement of part of the storage area for a lift, and replacement of door panel adjacent to the sports bar
- Removal of the ground floor outdoor gaming room partition
- Removal of all first floor accommodation rooms for a bistro, bar, lounge and terrace
- Removal of all second floor accommodation rooms for a private dining room, bar, amenities, storage, staff room and office.
- Allow for a void which was proposed on the eastern and western end of the second floor
- Permit changes to trading hours to 5am-5am the following day, Monday to Sunday for the ground floor, 10am-2am the following day for Monday to Sunday for the first floor internal and external area, and 10am-2am Monday to Sunday for the second floor.
As with many complex Development Applications of this nature, Council has had numerous conversations with the proponent as we worked through our consideration of this application.
Council's focus has been on whether the proposed building changes would impact the heritage fabric of the building and its structural integrity.
As it's a heritage building, we required the works done in a way people could still interpret the building's original lay out, that didn't impact any retained heritage detailing and in a way that allowed for reversal and the reinstation of the building original structure, fabric and floor – should this be wanted – in the future.
While the availability of hotel accommodation is a widely acknowledged challenge for the city, Council's refusal of the application was not on the grounds of the removal of all hotel rooms on the building's second and third storey.
Instead, as set out in the Reasons for Refusal, Council's overriding concern is about the protection of the structural integrity of the heritage building through the creation of a void in the second and third levels of the building.
There is a pathway for the applicant to appeal Council's decision and request a review of the determination. Should they choose to go down this path, Council is open to considering alternative design approaches to the void area, which may address the potential heritage impacts. The detail within the Determination's Reasons for Refusal provide the applicant a clear guide as to the steps Council require to work towards an approval.
We are keen to continue to work proactively and openly with the proponent on the next steps and to see the next evolution of this significant heritage building in our CBD.
