A major re-development of the old tourism icon Te Puke Auto Barn into backpackers' accommodation has begun and the work is expected to be finished by the peak of the kiwifruit picking and packing season.
A Hawkins Construction team this week moved into the empty shell of the vintage car museum.
It
will be lined and partitioned for dormitories, kitchens, bathrooms and toilets, a large lounge, prayer room and library.
Local company Pakka Holdings is spending close to $1 million refitting the distinctive building in Young Rd, just south of Te Puke and alongside another Western Bay tourist attraction, Kiwi 360.
The backpackers, called Kiwi Corral, will have 270 beds, 36 toilets, 16 ovens, vending machines, pool tables and a shop.
The developer has also been given approval by Transit New Zealand and Western Bay of Plenty District Council to establish 25 sites on the 1.4 ha property for motor homes and caravans.
Kiwi Corral is expected to open in late May _ just as the kiwifruit season hits full swing.
Pakka Holdings has an arrangement with Seeka Kiwifruit Industries to house its seasonal workers, including 200 from Malaysia who will be working here on an assisted immigration programme that guarantees accommodation and provides everyday support.
Seeka chief executive Michael Franks said the accommodation facility will help the company stay ahead of the game in a competitive market constrained by labour shortages.
The Malaysian group would make up the shortfall in labour after local workers are employed. These workers could stay at Kiwi Corral until November.
Seeka, the country's largest kiwifruit supplier, wants to employ up to 3500 pickers, pruners, graders and packers for the latest eight-month season, starting next month.
The company is also organising daycare and after-school facilities, and will be advertising on ethnic radio stations to attract workers.