A proposed multi-million renovation of Newcastle Beach Hotel has been recommended for approval after 24 objections.
The proposed renovation of Newcastle Beach Hotel in Parnell Place, which is operated by the Alloggio Group, includes a ground-floor day spa and cafe and first-floor bar and restaurant, as well as two penthouses at the rooftop level.
It will be considered by Newcastle councillors on July 25.
The two proposed penthouses on the fourth floor would replace an existing dwelling, which City of Newcastle said had previously been "unlawfully used" as Rosa's rooftop bar.
Parts of the ground, first and fourth floors would be demolished with the second and third floors of existing motel rooms to remain the same.
Objectors raised concerns the existing building footprint has non-compliant setbacks and height, as well as about heritage, noise, privacy, lack of car parking, patron numbers, overshadowing, fire safety, smoking, view corridor impacts, the loss of Rosa's rooftop and the structural integrity of the existing building.
The applicant said the removal of the rooftop bar was likely to result in less acoustic impacts if it is replaced by the two dwellings.
The application included operating hours for the first floor restaurant of 5am to midnight, Monday to Saturday and 10am to 10pm on Sunday, which are within the times of the existing licence.
However the council's conditions of consent changed these to 7am to midnight, Monday to Saturday and 7am to 10pm on Sunday.
The application was referred to the elected council as it exceeds the height and floor space ratio standards.
The proposal is 5.14 metres higher than the maximum building height of 10 metres, or 4.25 metres without the lift overrun, while the floor space ratio is 147 per cent above the prescribed maximum.
The council said the site had an historical variance to the maximum building height of 14.88 metres or 13.75 metres to the top part of the building parapet, and the proposed floor space ratio will be the same as the existing building.
