MOTELS AFFECT HOTELS

Press, Volume XCVIII, Issue 29068, 3 December 1959, Page 18

MOTELS AFFECT HOTELS

Nelson District Figures j (New Zealand Press Association) NELSON, December 2. Increasing numbers of motel* in the Nelson district were h«v‘ ing a serious effect on the hotel* said Mr J. A. Harley, managingdirector of a group of Nelson hotels and president of th* Brewers’ Association of New Zealand, today. A survey had shown that the number of motel beds had increased from 200 to 600 since last January. “By reason of the demands of the Licensing Control Commission, there is a consumer resistance to the high pric« charged for beds in hotels," h* said. “This is brought about by the luxury standard demanded in furniture and equipment, causing bed prices to rise. Th* average New Zealand traveller and many visitors have switched from hotels to motels for holiday purposes.” The use of beds in three major I Nelson hotels showed a drop from 3700 in 1952 to an estimated figure of fewer than SME this year. These hotels wer* not fully booked for the holiday season, whereas motels and motor camps were fully booked for these periods. Mr Harley said at present ther* was a danger of hotels having to close down because of losses. The answer to the situation, h# said, was a complete absence of controls so that the licensee could work on his bar profits. He could provide the size of glasses he considered would be economic and the control would then come from the public.