KEY POINTS:
A "bizarre" building of brass and glass is sitting half-finished just out of Hanmer, its promises of super-luxury accommodation and sumptuous dining under a cloud.
Developers Neil Dougan and Ernest Thomson planned to pour $16 million into revamping Braemar Lodge, near Hanmer Springs in North Canterbury. They had demolished the previous lodge on the site after paying $1.4 million for it three years ago, and had five-star dreams for the rebuild.
But the company behind the project, Braemar Lodge 2004, went into receivership last Thursday. It was one of a network of about 20 companies connected to the Christchurch pair.
Receiver Brendon Gibson, of high-profile Auckland firm Ferrier Hodgson confirmed last week that the company was responsible for rebuilding the lodge.
He said work was continuing but as the investigation was at such an early stage it was difficult to predict what its future would be.
The lodge's website said the "super luxury lodge" - meant to be finished late last year - would include 24 five-star suites, a wellness spa and fine cuisine.
Job advertisements for cleaners, chefs and waiters were still being published last month and a sample menu was available online. Travel agents across the country had been advertising the lodge for months, citing opening dates varying between February and October this year.
The Herald on Sunday left repeated emails and phone messages over the past two weeks but neither Dougan nor Thomson responded.
The pair was also responsible for luxury accommodation Te Kaikoura Lodge and Christchurch's Warwick Mews.
It is understood the architects who worked on Braemar Lodge were from Loxodonta Architecture and Richard Farrow Architecture. But the latter company is no longer registered and when the Herald on Sunday called the number on the Loxodonta website, it was answered by another architecture company which said it knew nothing of the work on the lodge.
Meanwhile, neighbours have been watching with interest.
Bill Clarkson owns Charwell Lodge, just down the road from the part-finished luxury development.
"It is common knowledge [in Hanmer], the state of the company," Clarkson said. "It's probably 80 per cent complete.
"There's quite a few of the rooms finished - the main dining room's not finished, I think they're still building a workshop. We thought, you know, it would be a boost for the area had it worked, but they were targeting a pretty small market."
Clarkson said the wooden lodge that was on the site previously was smaller and better suited to the landscape of the area.
"The current building takes up the entire ground and they haven't got a big area, so it looks a bit bizarre; it's a huge building, brass and glass."
Business good
Despite the rocketing New Zealand dollar and the receivership of Braemar Lodge, other luxury lodges across the country do not seem to be feeling any economic pinch.
Karine Thomas is the director of Navigate, a Parnell marketing company with two dozen Kiwi luxury lodges on its books.
Eighteen months ago there had been resistance from some super-rich travellers, Thomas said. "Now I believe our international operators are learning to live with our high NZ dollar... Our forward business is stronger than ever. However in saying this none of our 24 luxury lodge clients have raised their rates for this coming season."
Thomas said one of the US companies Navigate worked closely with, Andrew Harper Travel Club, had surveyed its members and found they had a median annual household income of US$1.6 million (NZ$2 million).
They spent about US$1.6 billion every year on leisure travel, on average handing over US$549 for one night in a luxury room.
Most of the guests staying in top-flight lodges here were from America or Britain.
