If the proposal is approved, the hotel, on the corner of Manning and Bong Bong streets, will see the accommodation move to a new four storey block at the rear of the old building.
Guests staying in the 42 serviced rooms, of different accommodation standards, will also have access to a pool, a gym, a day spa and parking.
The original building will have its impressive verandahs and widow’s walk restored. The first floor will accommodate the bistro, and the second floor will be function rooms.
The Salim’s have owned and operated the property for 13 years.
George Salim, who is managing the $7.5 million project, says, “We’ve owned the hotel long enough to understand that we have to build something that locals will enjoy patronising to make it work.
“At the same time, it will help improve the short term accommodation situation that so much has been said about.”
He estimates it will take 12-16 months to build, once all the planning and licensing approvals have been obtained.
“We’ll stage it to minimise disruption to our patrons, starting with the new wing.”
The Salim Group is a third generation property development and building company, based in Sydney. They will continue to own and operate the new Grand.
The heritage value of the Grand is protected in Kiama’s Local Environment Plan.
The hotel was built in c1890, in Victorian Second Empire style. It was designed by the owner’s architect son, Walter Hunt, who was only 20 at the time. He went on to be a prominent architect in Queensland.