Developer Linkcity has lodged plans for high-rise student accommodation on the site of the now-closed Cambridge Hotel.
The proposed 21-storey Newcastle West building includes accommodation for 560 students in studio, twin and four-bedroom apartments above ground-floor retail.
The accommodation likely would be run by UniLodge, which operates student housing in 110 locations across Australia and New Zealand.
The plans include first-floor common spaces, including a kitchen, dining area, laundry, lounge, recreation area, study rooms, music room, movie room and faith room. The Hunter Street building, across the road from DOMA Group's proposed 30-storey Store apartment towers, will have parking for 18 cars.
The development application says state planning policies require 107 parking spaces for the site, but "these rates are generic for co-living housing and do not account for the specialised use of the site as student accommodation, which have significantly lower rates of car ownership than the general populace".
Linkcity Australia general manager Hubert Dumont said most of the students would likely be international or interstate.
"We want to promote a sustainable lifestyle," he said. "If we're promoting car usage, we're not doing the right thing.
"There will be plenty of bike parking, car sharing opportunities, electric bikes.
"The reason we chose the site is because it is extremely well connected. It is a minute from both light and heavy rail to connect to both university campuses."
Linkcity announced in March last year that it would buy the popular music hotel and spend about $110 million transforming it into a "sanctuary" for students living out of home for the first time.
Mr Dumont said there was a shortage of student accommodation in Newcastle. The university had about 25,000 students enrolled at its Callaghan and City campuses in 2022, while there are about 2000 beds available on campus.
"Students often take suburban house and share it, so this will free up some of the houses in Newcastle," he said.
"It may not be affordable housing but it will help affordability."
Linkcity conducted a design excellence competition for the building, which was won by Sydney firm GroupGSA.
"The development responds to council's desire for additional housing and will provide student housing for those attending nearby tertiary institutions," the DA says.
"The podium level, comprising the existing Cambridge Hotel, will retain the prominent heritage facade on the corner of Wood Street and Hunter Street."
Linkcity, part of the French Bouygues group, has developed more than 17,000 student accommodation beds in France and the United Kingdom.
Sister company AW Edwards will build the tower if approved. Mr Dumont said they hoped the plans would be approved by the end of the year. If that occurs, they plan to start building in 2024 to open to students for the 2026 academic year.
"This will be the first purpose-built accommodation for students in the city centre, and we are excited to be able to lead the way in providing a high-quality, smart and sustainable development for what is arguably our most informed and consequence-conscious generation," Linkcity Australia managing director Nicolas Swiderski said last year.
"These 500 students will bring a new vibrancy to the Newcastle CBD, spending money, eating out and also looking for part-time employment. It will be a long-term economic lift for the CBD."
