Despite closing the Wanaka branch of his aviation business, Southair Ltd owner Mark Paterson remains optimistic about Wanaka Airport's development potential.
After 20 years in Wanaka, Southair, which carries out maintenance, restoration and accident repairs on light aircraft, is preparing to relocate its aircraft hangar to its main base at Taieri Airfield, from where it has operated since 1963.
Mr Paterson, of Dunedin, said difficult trading conditions in recent years prompted the closure of the Wanaka branch last August.
He cited the economic recession and a shortage of commercial aircraft operators as the key factors behind the move. While business was strong at Taieri, operating a satellite branch in Wanaka was a "different exercise", he said.
"It's a great place if you want to be a sole trader and run your own business and live there, but having a branch is not really a good idea."
Competing against at least three other similar businesses had been frustrating.
"There's so many maintenance outfits in Wanaka, it's ridiculous ... so we didn't think it was a viable business.
"If you get too many outfits doing the same thing then everybody struggles."
He said Wanaka Airport had "great potential", providing the airport's plan change process, subject of a hearing in Wanaka this week, was handled properly.
