Wellington property developer eyes Cook Islands' hotel

Wellington property developer Tim Tepaki plans to develop the Cook Islands' derelict Vaimaanga Hotel.

Originally developed as a Sheraton hotel, the Vaimaanga Hotel was due to open in 1993. But the Italian Government - which had insured a deal to develop the property - pulled out.

Paying interest on the loan still makes up a significant part of the Cook Islands' long-term debt.

The hotel never opened and has been largely reclaimed by bush.