Earlier this year, Geocon lodged an application for a five-star hotel in the heart of Canberra city. It originally planned for 233 suites across 16-storeys that would rise 50 metres, dwarfing the Canberra Centre but on par with the Queensland Investment Corporation's approved plans for 180-room hotel a block away on the corner of Cooyong and Genge Streets.

The amendment proposes to reduce the height from 50 metres to 35.2 metres and drop the number of hotel rooms to 191, including eight "superior rooms".

Geocon had planned for just 21 car spaces, based on the hotel's location in the city and the number of public carparks nearby. The new proposal has increased parking for 47 vehicles.

It will also include basement shops, a food hall, a ground floor cafe and shops facing Garema Place, plus a restaurant on the mezzanine level.

Geocon's director of planning and development, Dan Stewart, said the amendment comes after a number of responses to the original proposal.

"Working closely with the ACT government’s design review panel and the government architect, the project team has brought forward an alternative design for our new five-star hotel that we believe addresses all of the issues that were raised during the earlier public consultation," Mr Stewart said.

"One of the changes includes a reduction in the height and scale of the building, significantly improving solar access to Garema Place."

In May, the ACT Greens opposed the proposal saying it should be rejected as it was "unacceptable" and would "cause long-term damage" to the city. It said the initial proposal would create a dark, cold and overshadowed city centre.

The Garema Hotel will replace the Garema Centre at 70 Bunda Street, with the hotel lobby opening on to Bunda Street.

Mr Stewart said changes have also been made to the building facade, including a reduction in glazing to improve the energy efficiency of the building. In addition, the new proposal also includes a roof-top pool and a mixture of private and public "leafy" terraces.

Geocon bought the Garema Centre September last year for $13.35 million. The two-storey building will be demolished to make way for the new hotel.