Economic agency report includes business case for Whanganui hotel development

Whanganui and Partners chief executive Hannah Middleton delivered a positive quarterly report and news of a study into a hotel development in the city. Photo / Bevan Conley

Whanganui & Partners has been investigating the case for a new hotel development in the city.

Chief executive Hannah Middleton said the proposal was discussed during a Whanganui District Council meeting last week.

The public was excluded during that part of the meeting and councillor Helen Craig asked Middleton to disclose the nature of the discussion afterwards.

"In response to interested private parties, as well as demand for further accommodation particularly during the peak summer holidays and events season, Whanganui & Partners commissioned a feasibility/business case study around hotel development in Whanganui," Middleton said.

"This document will enable next steps for developers interested in investing in a new hotel in Whanganui."

Consultants Horwath HTL visited Whanganui on May 25 to meet key stakeholders and visit potential sites. The study is intended to attract investors to the potential project estimated to cost $30m.

Middleton and board chairman Pahia Turia delivered the Whanganui & Partners quarterly report to Whanganui District Council last week and while they said the figures were positive, both expressed the need for vigilance and caution around the ongoing effects of Covid-19.

Whanganui has bucked national trends for consumer and visitor spending during the past year.

Whanganui & Partners reported a total of $557m in consumer spending for the year ending March 31, 2021, and visitor spending was up by 3 per cent on the previous year.

While jobseeker benefits were up by 27.6 per cent on the previous year, they are well below the national increase of 59. 2 per cent.

Turia said Covid remained an "unpredictable and multi-faceted" force that continued to create global uncertainty.

He said Whanganui & Partners would continue to work towards buffering its effects for local businesses and the team would be adaptable in order to respond to a changeable environment.

Middleton said Whanganui and Partners aimed to maintain its vision of growing Whanganui to keep it "vibrant, positive and rich with opportunities".