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Scenic Group opts to close another two West Coast hotels

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Te Waonui Forest Retreat in Franz Josef has been filling 12 to 20 of its 100 rooms each night, and it is not enough to keep the hotel open.
In a major blow for the West Coast, the Scenic Hotel Group has decided to mothball a further two hotels in Fox Glacier and Franz Josef for an extended period.
Group managing director Brendan Taylor said the lack of a Trans Tasman bubble was the final straw, and he expected the closures to last for 12 to 18 months.
In May the Te Waonui Forest Retreat in Franz Josef and the Heartland Hotel Fox Glacier will join the Scenic Hotel Franz Josef and Glacier Country Hotel in shutting their doors to guests. ....

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Mothballed: Near-empty hotels hibernate for winter

Margaret Gordon, a Melbourne-based Kiwi who works as a video producer for The Age, offers a snapshot of her two weeks in managed isolation at an Auckland hotel.
The new Hotel Council Aotearoa, representing about half the country s 330-plus hotels, says many have barely survived summer. January should have been their busiest month with occupancies around 90 per cent, said strategic director James Doolan. Instead, with a few days of January remaining, most had only 40 to 60 per cent of their rooms occupied, and had been forced to slash about 20 per cent from their room tariffs to fill even those.
That meant their overall room revenue was down about 50 per cent, but they still had to pay property-related costs like rents, rates, insurance, electricity and servicing debt. ....

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