Auckland airport's chief executive says opening its new hotel with Waikato-Tainui is a major coup for the country despite costing $50 million more than it anticipated four years ago.
The airport announced in 2019 that the build would cost $150m and be finished in the first quarter of 2022, according to the New Zealand Herald.
Now complete at a cost of more than $200m, Te Arikinui Pullman Auckland airport Hotel is the second joint venture with iwi partner Waikato-Tainui. The two also own Novotel Auckland airport Hotel, which opened 12 years ago.
The new hotel is 100 metres from the international terminal at Auckland airport and next to the Novotel.
The airport's CEO, Carrie Hurihanganui, said the project is part of its “once-in-a-generation” redevelopment programme.
She said a new integrated terminal, transport centre and shopping hub will also be built.
The hotel has been in the works for four years. (Image: Tessa Crisp)
Hurihanganui said the project was meant to be finished last year but was extended due to delays from the covid pandemic. Despite those, she said the build came within budget.
“It was in excess of $200m for the build, and whilst that [the delays] did put some cost pressures on it, we landed within the budget that we set against a pretty challenging backdrop.”
She said Waikato-Tainui and Auckland airport equally shared the cost of the build.
The airport’s transport hub is set to open early next year, she said, with the remaining works to be finished by the end of 2024. She hopes the transport hub and integrated terminal will be operational within the next five years.
At Auckland airport’s annual general meeting in October, chair Patrick Strange said the hotel would become part of the airport’s thriving precinct of travel, hospitality, business, retail and trade.
“I am pleased with the progress over the past year. We already have over 250 businesses operating across the wider precinct and this is set to grow,” Strange said.
He said the two hotels had performed strongly.
In 2019, Waikato-Tainui believed the hotels would be an enduring investment to support the economic resilience of its people. (Image: Tessa Crisp)
Accor Pacific CEO Sarah Derry said the new hotel will join two other Pullman hotels in NZ and 18 across the Pacific.
Te Arikinui will be operated by Accor Pacific. It expects to generate about 200 new jobs when operating at full capacity.
In 2023, Waikato-Tainui's financial records show its tribal assets as a whole grew by $229m to $2.2b, and total equity is $1.8b.
Auckland airport shares currently trading at $8.265.
