A quality 46-room hotel is planned for a prime location in Paraparaumu Beach.
The Kāpiti Coast District Council has sold joint plots at 26-29 Marine Parade, which were acquired in 2019 to support growth and development, to experienced hotel and apartment developer Safari Group Limited.
"Safari Group has a proposal for a high-quality, mixed-use development on the site which would include a 46-room hotel," said the council's strategic development director, Darryn Grant.
"Safari has over 20 projects under way or completed across the country including three projects in the Wellington region, proving they have the vision and resources to take a project like this forward," he said.
"A key part of our vision for growing the value of Kapiti's visitor economy is positioning Paraparaumu Beach as an entry point into our visitor experience.
"There are many components to how we deliver that including good transport links, quality experiences and the right infrastructure such as accommodation choices."
Safari Group director Damien Taylor said, "We are incredibly excited by this opportunity, and look forward to continued engagement with Te Ati Awa, Ngati Toa and other key stakeholders, to deliver a much-needed hotel and quality apartments for the district.
"It will be an addition to an ever-growing place, especially now that Transmission Gully has opened up."
The joint lots came on to Safari Group's radar late last year.
"We popped down a couple of times to have a look at it, and were blown away by the area, the potential and the positivity as well around having a hotel in that area."
Taylor said the deal was unconditional "so it's just settlement now [on June 9]".
The sale price was confidential, until after settlement, but Taylor said it was a "small part of a massive development".
"It was market value but we can't go into the details of the numbers."
The council had bought the two lots in late 2019 for $1.43 million from its strategic property and land budgets.
Taylor said the group was "getting our consultants in place and boxing on with the early design and meeting the two key iwi down there as well".
"There's a process to go through, and we're early in that, but we're committed to the project.
"We're massively excited about the future there and I think there's more opportunity as well but let's get the first one going."
The Safari Group's website says the group has "delivered over 2000 hotel units and residential apartments, positioning Safari Group as the leading investor-focused developer in New Zealand".
"Our story begins back in the mid-nineties when Robert Neil and Stephen Taylor [two licensed builders] joined forces to form Safari Group.
"Having taken the name from Robert's trusty Nissan SUV, we thoughtfully set about building a business on a solid foundation of savvy construction, management experience and old-fashioned family values.
"We are hardworking and forward-thinking, continually going from strength to strength.
"We identify and pursue development opportunities that meet or exceed a strict set of criteria, in order to benefit our customers through long-term value and uncompromising quality."
George Hickton, chair of the Kāpiti Coast Tourism Advisory Board and former head of Tourism NZ, said the development of a hotel would open the gates for tourism in Kāpiti.
"Our lack of commercial accommodation is a real pain point for growing our visitor economy.
"People who want to come for a weekend away to experience our district have limited options when it comes to places to stay.
"A quality hotel will enhance and activate Paraparaumu's beachfront and lift the atmosphere of the area.
"With anchor projects under way like Te Uruhi to open access to Kāpiti Island and the improvements planned for Maclean Park, this is a vote of confidence in what Kāpiti has to offer both to New Zealanders and visitors from around the world."