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Home / Business / Companies / Tourism

Over the mountain, on to the next one

Anne Gibson
By Anne Gibson
Property Editor·
24 Aug, 2007 05:00 PM7 mins to read

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Chris Alpe helped create a tourism giant, and is now competingagainst it. Photo / Brett Phibbs

Chris Alpe helped create a tourism giant, and is now competingagainst it. Photo / Brett Phibbs

KEY POINTS:

Chris Alpe has scaled some corporate mountains in his life.

As a tourism trailblazer, the man with the soaring name was instrumental in helping to create part of New Zealand's largest listed tourism entity, Tourism Holdings, which has just emerged from a failed takeover attempt by Australian giant
MFS Living and Leisure Group.

THL owns leisure businesses Waitomo Glow-worm Caves, Kelly Tarlton's Underwater World, Milford Sounds Red Boats, and transport businesses Maui Rentals, Mount Cook Line and Newmans Holidays.

MFS wanted it all. But last month it ditched the bid after getting only 83 per cent, shy of the 90 per cent target.

Alpe's son, Tim, was strongly against the MFS grab, saying he was shocked the nation's largest tourism business was even contemplating selling to an overseas firm when the outlook for the industry was so good.

Chris Alpe sides with his son.

"I'm with Tim and I don't like to see assets such as Maui, Milford Sound or Waitomo Caves going to an organisation with no passion or experience in the industry. Would they really add value?"

Alpe - confident, forthright and blunt to the point of being almost brusque - has been involved in two businesses, the first with THL in campervan business Maui and the second with his sons, Tim and Dan, and their car and campervan venture, Jucy Group. But the story of this fourth-generation Kiwi whose ancestors came here from Scotland (the family crest is part of his wine cellar wall) dates back to Auckland printing business Alpe Brothers, established by Chris Alpe's grandfather and family.

Relationships in family businesses don't always run smoothly, as Bob Alpe found out.

"Dad came back from the war and worked there, but it was not a totally comfortable relationship so he went out and set up a general store in the Northcote shopping centre," Chris Alpe recalled.

Bob Alpe's general store, toy library and post office also had a travel agency operating from a desk out the back.

The way Chris remembers it, Bob was a Rotary Club member and many fellow Rotarians had to travel overseas on business. Increasingly, they turned to Bob for help in planning these trips and making the bookings.

The general store eventually became Alpe Travel. That flourished to the point where it had four offices on the North Shore, at a time when Chris was going through Takapuna Grammar School with Warehouse founder Stephen Tindall, whose family had a store alongside Bob Alpe's shop.

Chris Alpe never considered university - "Dad never did that, so I didn't either" - and he went straight from school into Alpe Travel.

But he had ambitions beyond being a travel agent - "It became apparent to me that there was no future as a commission agent" - and in 1980 he made his move.

"I bought six used campervans from the market leader at the time, Newmans. I borrowed the money. They cost $5000 each and were very old."

He called that business Maui Campervans and operated from the industrial and service corridor of Barrys Point Rd in Takapuna.

The business soon became popular and was soon making enough money to enable Alpe to commission campervans to be built up from the chassis and fitted out at Otorohanga.

In 1986, Alpe needed money to further expand his flourishing business, and considered an NZX listing.

He approached Wellington financier Jardines, which said that rather than listing it, they would provide the much-needed cash in return for a half share.

"But it wasn't a marriage made in heaven, so we bought the business back. We had different objectives."

A relative then stepped into the investment breach. Bernie O'Donnell, the Otago business partner of the late Howard Paterson, bought a stake in Maui.

Alpe's wife, Linda, is the sister of Bernie's wife, Jackie. That pulled the Tartan Mafia into Maui's corporate history and brought an entirely new direction to Alpe's business life.

It was through O'Donnell that Alpe met aviation and helicopter pioneer Sir Tim Wallace of Wanaka whose company, the Helicopter Line, was suffering after a recession in deer recovery. And helicopters had more use in tourism.

Tourism Holdings listed in 1986 and two years later amalgamated Alpe's Maui campervans with the choppers and expanded. Six hotels, the rights to operate the Milford Track walk, the lease to run the Waitomo Caves and Kelly Tarltons in Auckland were other major assets acquired as it grew.

"Then we bought our competitor, Newmans - the entire operation, coaches, everything," smiles Alpe, recalling with delight how his own firm had become strong enough to buy the large transport business which had originally sold him those first six old campervans.

Alpe was appointed THL's executive director, chief executive of rentals and a major shareholder.

But in 2001, he had a parting of the ways with executives over the company's direction, particularly that of its rental car division.

Neither Dennis Pickup, THL's former managing director, nor Trevor Hall, its chief executive, would comment on Alpe or his contribution to THL when asked about this yesterday.

Alpe said it was while he was in Europe that his family hatched their new plan.

Out of those discussions came a new domestic car rental business, Ezy Rentals, although the name was ditched when other businesses using the same name objected. The Alpes changed their start-up's name to Jucy.

And just as Maui started with six beat-up old vehicles, so the new business started with the same number.

Jucy now has 1300 rental cars and 400 campervans.

Alpe's other recent business interests have included buying an Auckland watertaxi business which he operated when the America's Cup was in Auckland, joining the board of bungy operation AJ Hackett and owning a share of Auckland's Aspen Lodge in Emily Place.

Last month, Alpe joined the board of CER, the company which operates Certified Organics and direct marketers New Zealand Nature.

He describes himself as "no greenie" but believes organics has a huge future.

His involvement with Howard Paterson led him to expand into agriculture and join Brierley Investments in buying cattle and sheep farms and converting them to dairy farms long before others spotted the potential.

That was the genesis of Tasman Agriculture which in 2000 was described as the country's largest dairy farming business with 64 New Zealand farms and 23 in Tasmania.

But Tasman's low share price eventually forced its demise. The farms were sold and money repaid to its shareholders.

Alpe also owns a share in the 486ha Crosshill Farm on the shores of Lake Wanaka. Part of it is being carved up for the Dublin Bay residential development. Commercial real estate in Christchurch and Parnell's The Strand and Beach Rd and a share of Fiji's luxurious Vomo Island retreat are also in his portfolio.

Alpe signed a five-year restraint of trade with THL when he left. That expired this year, enabling Jucy to expand further into campervans.

"I do have a love of tourism. All my life has been spent in travel and tourism but, in essence, it's the thrill of the chase." The Alpes are reported to be planning a $10 million expansion of Jucy over the next 18 months.

They hope to list Jucy on the NZX, raising money to expand the campervan and car rental business and buy tourist attractions.

Chris Alpe

* Age: 57

* Position: Non-executive director, Jucy Group

* Family: Married Linda in 1971. Two sons: Tim, 32, Dan, 30

* Education: Southwell Preparatory School, Takapuna Grammar School

* Lives: On a clifftop Parnell property overlooking the harbour

* Holidays: Properties in Queensland's Sanctuary Cove and Taupo.

* Interests: Art, travel, golf.

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