This year’s largest purpose-built Melbourne CBD hotel is in its final construction stages ahead of its scheduled March 2026 opening.

The four-star midscale Mercure Melbourne La Trobe Street will open next month, marking the largest purpose-built hotel development in Melbourne’s CBD for the year, as well as the first newly-constructed Mercure hotel to open in Melbourne’s CBD in more than a decade.

The new 195-key, 18-storey hotel owned by Spacious Group, is said to introduce a new expression of the globally recognised midscale brand said to be a “standout addition” to Accor’s Melbourne portfolio.
The project also marks the developer’s entry into the hospitality sector, following more than $200 million in completed residential projects across Melbourne.

Developed in response to Melbourne’s western CBD growth corridor, the hotel adopts a contemporary, design-led approach undertaken by Sora Interior Architecture and Design.

The hotel features six premium suites, a restaurant, a gym, and contemporary accommodations designed for both business and leisure travellers.

“This is an important milestone for the business as our first hotel development,” Spacious Group Managing Director, Angela Liang said.

“We prioritised getting it right over moving quickly, with quality informing every decision in the design. Ensuring the outcome felt considered was critical, and we’re excited to share the completed project in the weeks ahead.”

“The opening of Mercure Melbourne La Trobe Street is a hugely exciting moment for Accor and for Melbourne’s tourism offering,” Chief Operating Office of Accor in the Pacific region, Adrian Williams said.

“The hotel brings a bold new expression of our Mercure brand to the heart of the city, thoughtfully designed for how today’s travellers live, work and explore. It’s a standout addition to our Melbourne portfolio and a great example of what can be achieved when local vision is combined with the scale and expertise of a global hotel operator.”