13 Feb 2006

Wellington's property developer Tim Tepaki says work on Vaimaanga to resume

4:46 pm on 13 February 2006

The controversial Unit Titles Act in the Cook Islands could be activated before the end of the year, with work set to resume on the Vaimaanga Hotel in Titikaveka.

The partly built hotel has been sitting idle for 16 years and accumulated millions in debt.

The Act means non Cook Islanders can make long term leasehold purchases at the 200 room hotel.

But the Wellington property developer who's in charge of the project, Tim TePaki, says it could be up to a year before these potential investors see any return.

He says completing the building work will take about 12 months, but they will need six months before hand just to check out where everything is.

"PLAY AUDIO:COOKS DEVELOPER"

IN:......So that's the construction side and on the banking side in that six month period we will then lock in all of the sales of all the investors wanting to buy property. And we will only sell enough to cover the debts, and the rest of the stock - you know we expect to sell about 50 percent to investors of say 200 rooms and keep the other 50 percent.

Mr TePaki says that 50 percent will be divided between the partners McEwan Group of Investors and the Tepaki Group.