A historic Waikato hotel is up for sale after overseas investors failed to follow through with an agreed redevelopment.
The Okoroire Hot Springs Hotel, near Tirau, was purchased by Kingstown Blue Spring Resort (KBSR) in July 2014. The Overseas Investment Act meant that KBSR had to acquire consent to purchase the property due to its size, location, and historic value. The hotel first opened its doors in 1889.
As part of the purchase, KBSR agreed to undertake work to improve the facility, including protecting important heritage features and improving public access to the property.
"KBSR also said it would construct eight new hot pools and 22 new guest rooms, which would have increased the number of guests that could stay and was intended to make it more attractive for visitors and tourists," said Overseas Investment Office group manager Vanessa Horne. "This was one of the main reasons why the application was approved.
Though KBSR carried out some minor work, the OIO became concerned that the company would not complete their work in the allotted time, later deciding they had breached the conditions of their purchasing consent and ordering KBSR to sell the property.