Italian fashion giant Versace cuts ties with iconic Gold Coast hotel

The Gold Coast’s iconic Palazzo Versace will be no more after the Italian fashion giant decided to withdraw from the branding agreement with the hotel.

“After lengthy discussions, Versace has made the strategic decision to pull out of the Australian hospitality market,” the owners of the hotel said in a statement on Tuesday.

Versace’s decision comes into effect on July 31 this year, ending the 25-year partnership between the luxury hotel and the luxury clothing brand.

It is not known which company – if any – will replace Versace.

But developer Soheil Abedian, who founded the hotel in the late 1990s, expressed hope the opportunity would be taken up by another brand.

“It is sad that it will be coming to an end,” he told the Gold Coast Bulletin.

“Given the location, it warrants an international brand coming in to manage it.”

The Gold Coast Broadwater looking over to Palazzo Versace. Credit: Getty Images

The 200-room luxury hotel sits between the beach and Broadwater at Main Beach.

Versace’s withdrawal may mean elements tied to the brand need to be removed, including Renaissance-style tiled images of Medusa, which is used in the company logo.

The owners said the hotel will go through a “transitional phase” when the Versace withdrawal is complete.

“It is our ambition to retain the property, with plans to undergo an extensive renovation, and possible rebrand,” the owners said.

“It is our aim to ensure the property will continue to operate as a leading five-star hotel, upholding tradition by delivering world-class service and opulent comfort for guests.

“With the exciting development in the Main Beach corridor and rejuvenation of the precinct, we have full confidence in continued tourism resurgence on the Gold Coast.

“While this is the end of an era, we’d like to take the opportunity to thank Versace for the many years of great success together.”

Article source: Queensland Property Investor