The project was first announced in 2017 with a $22 million budget.

Construction was originally slated to start in early 2018 for completion by October the same year.

Issues with land tenure have delayed the build though, and while the current economic landscape is good for confidence, it has added up to $3 million to the price tag because of increased construction costs.

Pacifica Developments director John Zendler said there was a silver lining to the delay, giving stakeholders more time to refine the final product.

“We are probably going to end up with a more evolved building which will be a better fit for the town than if we had just rushed in and started something,” he said.

“We are used to being patient with these things, but it probably did take a lot longer than every-body thought.

“It is a less than 12 months construction project, so we will be opening in the last quarter of next year.”

Mr Zendler said the hotel would boost business and leisure tourism, and provide a place for locals to enjoy a drink and a meal in picturesque surrounds.

He said the developer was comfortable with the extra cost given the easing economic headwinds.

City of Kalgoorlie-Boulder chief executive John Walker told the Miner in July land tenure issues had been the key hold-up in getting work started.

“Obviously the architect is an outstanding architect and therefore very particular, and also the approval program,” he said.

“They basically have to sign off on every light bulb, so all of that’s taken a little longer.”

The City has contributed $4 million to the development, on top of a $3 million commercial loan to Pacifica, which will be repaid.

Source: The West Australian