PROVISION OF HOTEL ACCOMMODATION

Press, Volume XCIII, Issue 27896, 18 February 1956, Page 10

PROVISION OF HOTEL ACCOMMODATION

Licensing Commission Ends Christchurch Inquiry

The Licensing Control Commission ended its Christchurch inquiry mto the provision of accommodation and services on Lcensed premises at midday yesterday. The chairman of the mm! .ss’ on (Mr A. M. Goulding) said at the conclusion that the next sitting would be at Wellington on March 5 and 6.

W wo . u,d be the final sitting in the inquiry. At the ” ellington sitting, the commission would hear submissions from those who wished to make them on matters arising out of the whole evidence heard so far.

The Christchurch sifting was the fourth in the series. Sittings had previously been held at Auckland, Wellington, and Dunedin.

The commission at the Christchurch sitting was Mr Goulding and Mr L. C. Nisbet. Mr W. E. Leicester appeared for the National Council of the Licensed Trade, and Mr R. B. Cooke foi a representative body of hotel proprietors in New Zealand. Mi H. R. C. Wild was counsel assisting the commission. Mr T. A. Gresson represented the Christchurch Wine and Spirit Merchants’ Association, and Mr J. G. Leggat represented hotel interests.

Observers for hotel and other interests from many parts of New Zealand attended the Christchurch sitting. About 40 hotelkeepers, wholesalers, and brewery executives attended some of the sessions.

Storey’s Tourist Hotel would immediately restore reduced services to guests, such as morning, afternoon and supper services, if tariff control was lifted, said the licensee (Mr James R. Bonner) yesterday to the commission. Mr Cooke had called Mr Bonner to give evidence.

Mr Bonner said that his hotel had had to reduce these services because of increased costs, mainly wages and provisions. If decontrol came about, consideration would be given to providing roofed-in parking for about 20 guests’ cars.

Mr Bonner said that, with decontrol of tariff, an increase of only 2s 6d to Si a day would be made at his hotel. The present tariff was 32s 6d a day. The hotel accommodated about 68 guests. The average bed rate was about 75 per cent.

He had bought the hotel for £35,000. compared with the Government valuation of £34.000-odd. Mr Bonner said the difference between the Government valuation and the sale price could be accounted for by repairs carried out by the previous owner. There was no goodwill in the sale. “I carried the goodwill as lessee,” he said. [Mr Bonner was lessee of the hotel before he bought it.]

Mr Bonner said that if decontrol came about he would not charge the same price for all rooms. “I’d charge a little more for the better rooms.” he said. He said he had a place in mind for a seoarate bottle store, and hoped that a licence would be granted to him. Tavern License Mr Wild asked Mr Bonner what he would do if a tavern licence was made available: would he consider establishing one on other premises? Mr Bonner replied that he would consider opening a bottle store on a larger scale in premises a quarter of a

mile away from the hotel. “I could have a drive-in bottle store on a property I have in mind.” he said. “It would mean that customers could drive up to the counter.” Mr Bonner said that if the improvement he had in mind were made he thought it would justify a higher grading than the present three-star. “But I don’t want a higher grading,” he said. . Tc Mr Wild. Mr Bonner said that 25 per cent, of his customers were commercial travellers, another 25 per cent, families, and the remainder were casual visitors, mostly men. He fell he deserved a tavern or saloon licence in return for providing accommodation. Cross-examined by Mr Leicester. Mr Bonner said that he felt it would be unjust for other hotels to provide a subsidy, either in the way of levy or bounty, towards the accommodation provided at his hotel. Cross-examined by Mr Gresson, Mr Bonner said that he had closed a bottle store at the hotel two or three years ago. He did not attribute the closing to competition from other bottle stores in the area of his hotel. “The competition was only a minor factor.” he said. Mr Bonner yesterday said that the “real cause” of his clos ing the bottle store was an increase in wages. The chairman of the commission asked Mr Bonner whether his complaint was that he was not making enough money. “That is right, sir.” Mr Bonner replied. To another question by the chairman, Mr Bonner said he was quite content to buy the hotel. As things were now, he could not refurnish the hotel the way he would like to. “I made £lOOO worth of refurnishings in the hope that I would be able to increase the tariff.” he said.