An abandoned Lake Rd motel which was derelict for four years and became a home for squatters, has re-opened as a hotel after a $3.5 million facelift.
The Mercure Rotorua Hotel, formerly the Lakewood Motel, was bought by the Accor Hotel chain and has been operating again since early March.
The original motel, which was built in the late 1970s, was abandoned by its previous owners in 2008. It was set on fire by vandals the following year and regularly visited by police after doors and fittings were stolen, windows smashed and buildings tagged.
In-house manager Peter Cooper said it had taken two years to completely refurbish the complex with all 38 rooms re-carpeted, every panel re-jibbed and every kitchen sink replaced.
"We have new driveways, swimming and spa pools and a barbecue area, and the owners are also putting in a bus park at the back of the hotel for tourists travelling in campervans who might fancy a night in a hotel," he said.