Hilton tight-lipped on Kawarau Falls site

The Kawarau Falls Station development site. Photo by Emily Adamson.
The Kawarau Falls Station development site. Photo by Emily Adamson.
The Hilton hotel chain is remaining tight-lipped about whether it is moving into Queenstown's Kawarau Falls Station development, but confirms it is "in negotiations" to open a hotel in the resort.

The Otago Daily Times also understands the Hilton was one of the companies which responded to a tender for international hotel operators, undertaken by receivers Korda Mentha.

Hilton Australasia corporate communications manager Charlotte Seymour yesterday said the company was in negotiations for a site in Queenstown but a deal had not been finalised.

She said she believed the company was not the only chain vying for the same site.

However, she refused to confirm that site was the $1 billion Kawarau Falls Station development.

The ODT reported yesterday Hilton Hotels Corp was advertising for a business development director and an operations director for "Hilton Queenstown".

Ms Seymour said yesterday the company had been looking at entering the Queenstown market for a long time.

"We are definitely interested in getting a property in the South Island and certainly interested in Queenstown as New Zealand's premier destination," she said.

She said the company usually advertised for management positions when it was looking at potential sites.

"It's something we do to gauge what talent is available should the deal come about," she said.

Queenstown Lakes District Council Mayor Clive Geddes told the ODT at the last meeting he had with the Korda Mentha receivers, appointed to stage 1 of the Kawarau Falls Station development, they had "undertaken an international tender for hotel operators".

"They were really pleased with the response that they had. It included such international names as Wyndham and Hilton [among others]."

The Wyndham Hotel Group encompasses more than 7000 hotels and 590,000 rooms in 65 countries under several hotel brands.

This week the group announced its expansion in China, with the addition of three luxury hotels in Shanghai, Changsha, and Hangzhou.

Mr Geddes said any international brand was welcome in Queenstown.

"I think that the resort benefits long-term from having ... internationally recognised brands, whether that's an airline, a hotel manager, resort manager or retail chain.

"Those people have an international marketing network that they use to bring benefit to Queenstown."

The future of the planned Westin hotel at the Kawarau Falls development has been in doubt with the hotel having stopped taking bookings, despite nearing completion.

Last week, the ODT reported a "preferred operator" for the two stage 1 hotels had been identified by the development's receivers.

Yesterday, receiver Grant Graham, of Korda Mentha, said he could not confirm the identity of the preferred operator as commercial arrangements had not been finalised yet. Stage 1 is expected to be completed in August, with a targeted opening date in September.

Two stage 1 companies Melview (Kawarau Falls Station) Investments Ltd and Melview (Kawarau Falls Station) Developments Ltd went into receivership in May.

- tracey.roxburgh@odt.co.nz'

 

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