In 1968 the Hotel Australia was purchased by the MLC Insurance and Finance group who, amid mounting concerns, announced their intention of refurbishing and maintaining the hotel, one of the city's landmarks.
The building's construction was controversial, since it brought about the demolition in 1971-2 of the famous 19th century Australia Hotel, the Theatre Royal, and the splendid Commercial Travellers Club building on the corner of Martin Place, all of which formerly stood on the site, as well as much of the historic Rowe Street precinct.
Despite this, Morton and his State Planning Authority were continuously criticised for not being totally accountable to the public, particularly as the pro-business Sydney Commissioners worked side-by-side with the Planning authority to increase developments in the Sydney CBD to their highest levels ever, embodied by the construction of the MLC Centre, the demolition of the Theatre Royal, Sydney and the Australia Hotel.
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