New dates for hotel opening
DEVELOPERS Tim Tepaki and Dan McEwen have been given more time to complete the Vaimaanga Hotel Project. But landowner Pa Ariki has also said she intends to hold them to new deadlines, which could see the hotel not open now till August 2008.
At the Leases Approval Tribunal sitting of Friday 3 November, a Deed of Variation between Pa Ariki and JV (I Branch) Limited was approved, a news release said.
It brought to an end speculation as to the current status of the Vaimaanga Hotel Project, the news release said.
Explained
Addressing the Tribunal, Pa’s lawyer Tim Arnold, explained that contract documents were to have been submitted to Pa for her approval on or before 14 August 2006.
When those documents were not provided, a notice of breach was served on the lessee, and the project’s mortgagees, Strategic Nominees Ltd, were also advised, Mr Arnold said in the news release.
Mr Arnold explained how Strategic had responded in a prompt, constructive way and described the Deed of Variation as a “road map to completion”.
The original Deed of Lease provided for completion of the hotel by 30 November 2007.
Although that remains the target opening date, a new timeline envisages that the hotel may in fact not open for business until 31 August 2008. Explaining this to the Tribunal, Mr Arnold advised:
“Pa wants the Hotel open as soon as possible. She has insisted the Target Opening Date remain unchanged. However, she reconises that due to delays on the part of the lessee, it may not be possible to meet that deadline.
“Pa reconises and supports the efforts of Strategic Finance, the project’s financiers, to ensure the project moves forward and to recover as much time as possible.
“Under the Deed of Variation, Pa will be compensated if the Hotel does not open as planned, and has agreed she will take no steps to forfeit the Lease unless delays extend beyond 31 August 2008.”
Over recent years, a number of deadlines have been broken by those wishing to complete the Hotel. Speaking earlier this year at the Hotel, Pa commented that it would be “difficult and expensive for Tim Tepaki and Dan McEwan to find the money and complete this Hotel”.
However, to all present, she said “They have promised to complete and open the Hotel by December at next year. I intend to hold them to that promise not only for myself but for all of us. “
Pa has now been advised that as mortgagees and financiers, Wellington based financiers Strategic Finance, are now taking an active interest in management of the project.
“I talk to Strategic regularly; their involvement certainly encourages me,” says Pa.
The Deed of Variation will now go to the High Court for confirmation. In February of this year the Lease was confirmed by the High Court with assurances the Lessee would compty strictly with the agreed timetabling.
It is expected questions will be asked as to the reasons for delay. For now, though, Pa expresses confidence in Strategic Finance ensuring future performance by the Lessee of the terms of the Lease, Arnold said.

Headlines : Times 175
- WHAT A MESS
- Surprise resort baby born at Rarotongan
- Carlson makes quick Emergency start
- Apia, here comes Our Beautiful Pacific
- Pacific Blue gets new plane options for here
- New dates for hotel opening
- Why Chief Justice dismissed petition
- Ring the bell, lots of boxing planned
- A boring day off for Maara Vaiimene?
- Cath Kara call in
- Wilkie tells of his Fiji mission
- Ruling on gifts opens up a new era
- Metua Rakei learns to live

Headlines : Times 174
- PM heads back to Fiji
- Rarotonga witnesses give Vaipae evidence
- Cassey carries on
- Avatiu adds up to Peto
- Mauke excavator not factor in election
-Poly Blue offering $100 Sydney-Apia
- All Blacks launch Air New Zealand’s new ‘Round the World’ services
- How Marjorie Crocombe ran into Australian style apartheid
- RARO CALLING
- Shona named Miss South Pacific judge