Second Dunedin high-rise hotel attempt turned down

A second attempt to build a high rise hotel in Dunedin has been turned down.

An independent panel for the Dunedin City Council rejected the proposal, saying the effects of the 62-metre high building would be more than minor.

Businessman Anthony Tosswill wanted to transform the central city carpark into a five-star hotel.

The 17-storey building would have included 210 hotel rooms and 64 apartments.

But independent commissioners declined resource consents - influenced by its visual impact.

"So basically on the visual side and on the shading side, we believed the [the impacts] were more than minor," independent commissioner Andrew Noone says.

Mr Noone says the proposal didn't comply with the district plan in areas such as height.

The estimated $75 million project would have provided short and long term employment. It would also have filled a growing need for more accommodation.

Visitors coming to Dunedin for big name concerts or sports games often struggle to find a room. Supporters of the build are disappointed by the decision.

"The strange thing is that I don't feel like I was expecting anything else," hotel supporter Sam Gilchrist says.

"But mainly I just feel absolute disappointment and disgust to be honest."

It's the second major hotel the city has red-carded. Backers of a $100 million complex near the waterfront walked away after a three-year battle.

Mr Gilchrist is concerned this will be the final straw for developers.

"They'll just see that this is a colossal waste of money to come here and throw their money at something that's never going to happen."

Dunedin Mayor Dave Cull says he hopes to continue exploring options with the developer.

Mr Tosswill has three weeks to consider an appeal.

Newshub.