Quest will open seven more serviced apartments in New Zealand, taking its national portfolio to 42 hotels by July next year.

First off the rank will be a franchise in Takapuna, north of Auckland, scheduled to open its doors next month, followed by new sites in Mt Eden, Auckland, at the Remarkables Park near Queenstown and Cambridge Terrace in Christchurch prior to year-end.

A further three hotel apartments will open their doors at Lambton Quay in Wellington, at Mt Maunganui, and in Hastings during the first six months of 2022.

While the rapid expansion would seem to fly in the face of the tourism challenges brought by closed borders, Quest NZ chief executive Stephen Mansfield said the business had retained good occupancy levels across its core business and public service customer base.

"The Quest network has performed well, with a year-ending network-wide occupancy average of 77%, despite no facilities within the managed isolation and quarantine programme."

That's well ahead of the 50% occupancy recorded for Auckland, and 33% in Queenstown over the past year, according to the latest hotel snapshot by property group Colliers International.

Quest, which opened in NZ in 1998, operates 170 properties across Australia, NZ, the UK, and Fiji.