The redevelopment will take the resort into the 4.5 star bracket to attract more tourists from China.
"Our owners have recognised the need to revamp Daydream's facilities especially as we embark on a greater push into international markets including the lucrative China market," says General manager, Dawson Tang.
The 296-room resort will close in early 2018 for an unspecified amount of time for the renovations to complete.
"With well-over 100,000 guests staying on Daydream Island each year we recognise the need to continuously improve our product and we will be improving the guest experience based on recent feedback right up until the redevelopment.
Major works will include redevelopment of the arrivals pavilion, reception, main atrium area, Waterfalls restaurant, Lagoons bar, all room types and Mermaids restaurant. Additionally, the Lovers Cove function area will be expanded, and a new Asian inspired restaurant will be built.
The Living Reef lagoons will also be upgraded with new features added.
Some strategic projects will be implemented in 2017 on the South End of the island.
Fish Bowl bistro, Boat House Bakery and Ginger's Hut will be closed from the first week in February this year. Alternative food and dining facilities will be provided.
Access to South End facilities including swimming pools, the outdoor cinema, motorised watersports and the Endeavour Wedding Chapel will not be affected.
CCIG purchased Daydream Island in March 2015 and has since completed many accommodation and facility upgrades and refurbishments plus a renovation to the resort's main restaurant, Mermaids.
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