Cook Islands clear the way

way for the tourists

With work on the international airport at Rarotonga now started and expected to be finished by early 1972, the Cook Islands have now taken the next big step in their bid to get into the tourist business in a big way—they’ve decided who will build and operate the first hotels.

The Cook Islands Tourist Authority at the end of August announced the names of four successful applicants for hotel or motel licences, and the Minister for Tourism, Mr. T. A.

Henry, asked the companies to “implement plans quickly”. All the hotels will be built on Rarotonga.

The successful applicants are Cook Islands Holdings Ltd., of Invercargill, NZ, which plans a SNZ2.S m. hotel on an attractive white sand beach site of eight acres at Aroa, Arorangi (100 beds by airport opening, and up to 200 the same year if needed); Rarotonga Resorts Ltd., a company of local people, which plans a hotel motel in the same area, initially with 20 beds and later up to another 20; Trailways Motels (Rarotonga) Ltd., of Palmerston North, NZ, which plans a hotel-motel of 40 beds at Tupapa, and up to 80 if needed; and Brahne (Cook Motel Ltd., of Takapuna, NZ, which will build a hotel-motel of 40 beds and up to 72 as needed, at Kavera.

An application by F. Olsen was withdrawn, and one by F. Iseke deferred.

The developers will get customs duty and sales tax exemptions on all materials and furnishings used; accelerated depreciation of capital investment and increasing deprecia tion on all items at 50 per cent, of the existing rates; no limit to the carrying forward of operating losses; and provision for repatriation of profits and capital. Interest on loans from sources other than NZ will be tax free.

The Cl Tourist Authority defines a “hotel-motel” as “catering primarily for visitors and generally situated away from urban centres. Its struc ture is usually in the form of bunga lows, or spread style, and it offers licensed restaurant facilities. It offers some room service and entertainment, and it may offer a house bar”.

All the four companies must grant their landowners not less than 10 per cent, of equity capital. The authority calculates that this could give the landowners up to $200,000 share holding rights and, when each

complex is fully developed, it could rise to the vicinity of $300,000.

Air NZ to Cooks

Air New Zealand will introduce an interim commercial air service to the Cook Islands on October I—nearly two years ahead of jet operations.

The company will charter a HS74B from Fiji Airways to connect with its own flights through Fiji, until completion of the new jet airport at Rarotonga opens the way for Air NZ DCS services in 1972.

The interim commercial service replaces RNZAF Hercules flights, which have now been withdrawn.

Work on the airport site in Raro tonga now makes it impossible to operate the Hercules there, but the smaller prop-jet HS74B airliner operates from a shorter runway.

The new fortnightly service will operate from Nadi, via Pago Pago to Rarotonga, returning the next day through Aitutaki and Pago Pago to Nadi, with a DCS connection to Auckland.

Air NZ says it will make the ser vice a weekly one if demand warrants.

Passengers will breakfast at Pago Pago. Normal baggage allowances will apply.

New Samoan airport

Following the Cook Islands an nouncement, came another from Apia, Western Samoa, that work on a new SUS3.I million jet airport at Faleolo would begin in November and is expected to be finished by June, 1972.

The old runway will continue to be used while the new work is in pro gress nearby.

The new strip will be 7,300 ft, of which 5,500 ft will be sealed, and the two ends gravelled. It will handle BAG Ill’s, but the DC9 may use it with restricted weight.

A modern terminal building will also be built at Faleolo.

The work on the airport will be done by the Samoan Department of Works. It is being financed with loans from the Asian Development Bank.