Scenic Circle to open two new hotels in South Island

Scenic Circle Hotels is continuing its nationwide expansion with two new hotels planned to open in the South Island next year, it said today.

Spokesman Steve Shearer said the 70-room Te Kaikoura Hotel in Kaikoura and the 80-room Dunedin City Hotel were both planned to open in 2004.

The Te Kaikoura Hotel would be built to international standards, Mr Shearer said in a statement.

The Dunedin City Hotel will see a former office building on the corner of Dowling St and Princess St refitted, complementing upgrades to the chain's Southern Cross Hotel in the city.

Conferencing facilities were planned for both new hotels, he said, noting there would be room to develop up to 118 rooms at the Dunedin site.

It was not immediately clear how many jobs would be created through the expansion, or how much the ventures would cost.

Meanwhile, executive director Lani Hagaman said Scenic was continuing to expand in the North Island by "actively pursuing" opportunities in Wellington.

Last year it built the Te Pania Hotel in Napier and bought the Bay of Islands Hotel in Paihia. It has also redeveloped the Croydon Hotel in Gore, she said in a statement.

In December last year, Scenic said it expected to add another three or four hotels to the 17 it owned from Northland to Gore.

- NZPA

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