MiHaven Readies $60m Cairns Airport ‘Resort’

Work is about to begin on a $60-million short-term accommodation development at Cairns Airport aimed at filling a gap in the region’s housing offerings. Stages One and Two of the MiHaven project, dubbed SkyHaven, will comprise 186 units in total across two three-storey buildings in a mix of one and two-bedroom self-contained apartments. Each unit will include a kitchenette while amenities include swimming pools, gymnasium, cafe, and meeting and conference facilities. Sustainability and environmental considerations have played a role in the design process—the buildings will incorporate features to reduce heat load and improve energy efficiency. The project will rise at Airport Avenue, 3km north of Cairns CBD, opposite the main terminal roundabout on a 1ha site. MiHaven director Sarah Mort told The Urban Developer that SkyHaven was designed to meet the needs of a transient workforce, including aviation engineers, health professionals and corporate travellers requiring stays ranging from overnight to three months. “We’ve been in North Queensland for nearly 20 years, and we’ve seen Cairns mature out of its single economic drive of tourism,” Mort said. “It’s now been identified as the most diversified economy outside of Brisbane for Queensland. “Cairns Airport has been an international airport for 25 years. We’re now at about 4.2 to 4.5 million passenger numbers per annum. It was surprising that of all the airports in Australia, Cairns doesn’t have a hotel or short-term accommodation facility on the land.” Mort said SkyHaven addresses the call from local business to provide quality accommodation for various industries in the region. “I think we certainly hit a sweet spot,” Mort says. “And we were quite surprised when it finally went public about how many businesses in Cairns said, ‘it’s about time’.” ▲ A render of one of the two swimming pools in the outdoor entertainment area at SkyHaven at Cairns. “We did a survey last year with 80 companies in Cairns and asked them what impact [the lack of accommodation] was having on recruitment to bring in corporate workers. It was something like a 60 per cent said it was affecting their ability to find staff. “We’re building it to a four-star hotel quality fitout. It has all the performance of the support facilities you want but has much more comfort about being there for a longer term.” Several businesses have signed expressions-of-interest for long-term room contracts, including aviation maintenance companies as well as firms in the shipping and marine industries. Speaking to The Urban Developer last month, Sentinel Property Group chief Warren Ebert identified Cairns as one of several regional hotspots he said were ripe for investment and development. However, Ebert highlighted a significant challenge in the region. “You cannot get builders up there,” Ebert said. “The cost of construction is high. The cost to attract labour is outrageous. The prices are completely out of control.” ▲ MiHaven directors Sarah and James Mort with Cairns Airport chief executive Richard Barker. Mort says MiHaven has an ongoing strategy to address the current challenging labour market. As a Registered Training Organisation (RTO), the company has built its own workforce from the ground up. “We’ve got more than 20 contractors working for us, so we have the skilled workforce to manage this project,” Mort said. Mort said the company’s dedication to nurturing local talent has led to “amazing longevity and loyalty from our team”. This local focus extended beyond employment. MiHaven plans to source all materials and skills locally, bucking the trend of larger projects that often import labour and resources. “All our cabinetry making, everything’s going to be done locally. We’re not outsourcing anything offshore, which I think is important,” Mort said. The company’s commitment to Cairns goes further. It plans to establish an onsite training centre, taking on five more Indigenous trainees for the project. “Thirty per cent of our workforce is Indigenous, which we’re also proud of,” Mort said. “This initiative not only addresses the skills shortage but also provides opportunities for communities.” ▲ SkyHaven will provide accommodation for healthcare workers, visiting professionals and skilled labour needed for Cairns’ economy, says Mort. Funding for the projects is coming from a suite of equity investors, some currently in due diligence, with Westpac providing financial backing. Tropical Airport Accommodation Pty Ltd is listed as the owner. Property tenue is a 50-year leasehold with Cairns Airport Pty Ltd. MiHaven plans to build the development in two stages, allowing the first 90 rooms to open six months ahead of the second stage. Land has been earmarked for a potential third stage, which could include purpose-built 200-bed student accommodation to serve the growing education sector in Cairns, particularly in aviation-related fields. The project is due to being work in February and completion is expected within 24 to 36 months.

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Hotel & HospitalityLeon Della BoscaTue 22 Oct 24

MiHaven Readies $60m Cairns Airport ‘Resort’

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Tue 22 Oct 24