Abode Hotel Kingston, run by Iconic Hotels which is a division of developers Geocon, brings 63 hotel rooms across four storeys to the Canberra market. The development cost $12 million and took 36 weeks to build.

"It's a very unique and special time for Canberra as it is an emerging city, not only is the skyline changing with high rise towers but we're seeing these new food and beverage and hospitality offerings that haven't been presented before in the ACT," Mr Georgalis said.

"Kingston is very centrally located, in fact, what we find is when parliament sits most of the destinations people stay in are Barton, Manuka and Kingston.

"Kingston has been neglected for a number of years, there hasn't been much movement around the shopping centre in particular and we're seeing a lot of doors shut."

He said the hotel would contribute to bringing life back to old Kingston.

Iconic Hotels owns and operates seven hotels in Canberra and the surrounding regions - Kingston, Murrumbateman, Narrabundah, Tuggeranong, Gungahlin, Woden and they also own and operate The Woden Hotel.

The developers also have two more hotels in Canberra’s inner-north and west being developed to "compliment" Geocon’s Midnight and Republic precincts.

Mr Georgalis said in addition, three luxury hotel offerings unparalleled in the Canberra accommodation market, will also open in the Parliamentary Triangle, Canberra City and Kingston Arts precinct within the next four years.

Geocon directly employs about 400 staff, and more than 2000 contractors across property developments, depending on the project.

Chief Minister Andrew Barr said the hotel was another important investment in Canberra's tourism industry.

"We've been experiencing both domestic and international visitation records in the last 12 months," Mr Barr said.

"We recognise that to meet our 2020 tourism goals we need the private sector to be prepared to invest in new tourism product so I think what you've seen from the Geocon group, Nick, has very passionately committed to, over an extended period, bring new products into locations that are strategic for the city and the regions."