AN empty car park at Cockburn Central will make way for a 3.5-star hotel.
The Hilton Hampton Inn and Apartments will be at the east end of Signal Terrace, next to the train station, and feature 146 guest rooms, 109 apartments and room for four ground-floor commercial tenancies.
Work is expected to start on the project early next year.
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READ NOWThe $40 million, 12-storey development is the fourth hotel in the works from developer SKS Group and architecture firm DesignInc, with others in Northbridge, Fremantle and Barrack Square.
DesignInc managing director Ron Jee said the hotel, set to be the tallest building on the edge of the town square, was designed to be a landmark for a growing precinct.
"Cockburn Central is an exciting area and has had many new developments in a short few years," Mr Jee said.
"It has been assessed that there is growing demand for hotel accommodation in the Cockburn Central area."
While Cockburn has other forms of accommodation " from motels and lodging houses to bed and breakfasts " the hotel will be the first of its kind in the area.
City of Cockburn planning and development services director Daniel Arndt said the decision to build a hotel at Cockburn Central reflected how far commercial confidence in the area had progressed.
Tourism Council chief executive Evan Hall said the hotel would be perfect for domestic and international travellers visiting friends and relatives in nearby suburbs, people flying in for work and tourists.
"It's not all about the five-star hotels in the Perth CBD," Mr Hall said.
�Hotels anywhere near where people are moving around are popular.
"This should be close and affordable, with cheaper rates but longer stays."
LandCorp's general manger for the metro area Luke Willcock said the hotel would complement existing facilities, with guests able to enjoy nearby cafes, restaurants, shops and easy access in to the Perth CBD via the station.
"A hotel is an ideal outcome for the town centre. It will continue to help activate the area with the addition of local, national and international visitors," he said.