A developer has signed a conditional contract with the Tauranga City Council to build an internationally branded hotel in downtown Tauranga.
The Auckland developer has a confidentiality arrangement with the council and is understood to be finalising a design and operator to manage the four-star-plus hotel with up to 160 rooms.
The
plans, for Durham St opposite Baycourt Theatre, were revitalised after Tainui Group Holdings pulled out of developing a 146-room Novotel Hotel and 14 top-level luxury apartments in 2008. The planned Novotel was expected to generate $10million to $20million a year in visitor spending, employment and associated services.
The new hotel on the council-owned land would take up a large part, but not all, of the car park in Durham St.
Council property manager Anthony Averill, who is having another meeting with the developer next week, said he would soon report back on progress.
The new hotel would have normal in-house conferencing facilities - but not on a large scale. However, a plan was being prepared for a convention centre across the street able to host up to 600 delegates. The 3500sq m centre would be built on the flat area alongside Baycourt and over some of the council carpark, with parking underneath on two levels.
The main convention hall would be 1400sq m with the ability to split into four, and there would be break-out rooms. A common lobby area would link the centre with Baycourt.
Duarne Lankshear, Priority One city centre manager, said there was constant inquiry for big conferences in Tauranga.
"Smaller places like Hastings, New Plymouth and Blenheim have conference facilities but Tauranga hasn't got any. The business case is in its early days and the convention centre has to stand on its own feet and involve the private sector," Mr Lankshear said. "It could potentially involve a public-private partnership."
He said the new indoor centre at Baypark would primarily be used for sport and exhibitions, and an additional convention/conference centre would "bring the big boys in".
