A replacement hotel has been found to quarantine international tennis players ahead of next month's Australian Open after the contract with The Westin in Melbourne was cancelled.
Australian Open organisers and government officials were left scrambling after several penthouse owners at the Westin raised concerns about the quarantine plans and threatened legal action.
They claimed they hadn't provided consent and felt the proposal was unworkable, putting them at increased risk of contracting COVID-19.
Victorian Police Minister Lisa Neville said on Tuesday morning an alternative hotel had been secured, which will be "stood up today or tomorrow".
She said the new site would be announced next week.
"We have secured a different hotel for the Australian Open," Neville said.
"We became aware on Sunday that there were some concerns that had been expressed by the residents in the apartments.
"This is about having goodwill with our hotel partners ... so we've gone through a process of securing a new site.
"All those sites, we'll announce formally next week."
Neville said they stood by the infection prevention plans for the Westin but didn't want "a fight" so mutually agreed to look elsewhere.
"In this case, we were absolutely confident in the design of the buildings - the residents are completely separate," Neville said.
"But we didn't want to end up in a fight with one of our key partners that we've used in the past.
"We've ended up in a good situation and in fact where we have secured (accommodation), it will become part of the ongoing program."
Players are due to arrive on January 15 and serve a 14-day quarantine period with the major to get underway on February 8.