Rotorua business owners are divided over whether managed isolation facilities in the city will be detrimental to the local tourism market.
This comes on the back of a survey by the Rotorua Chamber of Commerce this week to get a snapshot on how businesses are feeling about hotels in thecity being used to isolate returning travellers.
Although the survey was done before the confirmed case at the Ibis Hotel on Thursday, Chamber chief executive Bryce Heard said he did not believe it would impact the results.
If anything, he saw it as a positive, saying it showed the managed isolation was working.
Last weekend, returning travellers were taken from Auckland Airport to Rotorua's Ibis and Sudima hotels for managed isolation, without discussion with local businesses.
On Thursday, a woman in her 30s tested positive after arriving from Peru.
Of those surveyed, 43.7 per cent feared the facilities would damage the city's tourism reputation, reduce visitors, and damage businesses who relied on domestic visitors to survive over the next few months.
But 37 per cent said they would support the managed isolation in the city if they could be assured the safety protocols were working effectively, and people were communicated with in advance.
Just under a fifth saw it as a good opportunity for Rotorua to pick up more visitor income and get some hotels working again.
It also found 55.8 per cent did not want to risk community transmission of the virus by becoming a "quarantine hub".
The survey was up for 48 hours from Monday and 120 chamber members responded - one-quarter of its members.
But the rest were either indifferent and trusted officials or said helping those who needed to get back to New Zealand and feel welcome was more important.
Hospitality New Zealand Rotorua branch president and owner of Hennessy's Irish Bar, Reg Hennessy, said the situation could instil fear in potential visitors.
"I don't have enough faith in the Government to make sure there's no slip-up, because we only need one and she's all over."
He said he was already hearing of cancellations ahead of the school holidays.
"We've all put so much effort into reopening and advertising ... now we go and do this, it's just stupid."
He said the Government had months to prepare for Kiwis returning home.
"Surely they could've come up with a better plan than this ... why are we sending them to a tourist town, in tourist hotels?
"To say - hey, we'll send them and dump them in New Zealand's number two tourism town when all these poor buggers have been shut down for the last two months.
"There will be cancellations. It will affect hospitality, there's no doubt about it, and in turn, affect the tourism industry and every other small business."
Rotorua Moteliers Association chairman and owner of the Arista of Rotorua Motel and Capri on Fenton, Mike Gallagher said his biggest concern was running out of beds in the city.
"Our big issue is that we'll run out of bed space ... and potentially run out of stock to feed the attractions and restaurants.
He said a large number of motels provided emergency housing, and when hotels do go to full quarantine, more space will be gone.
"These are New Zealanders coming back from overseas, and if Auckland's full, why not us?"
He saw this as an opportunity for the future; to give quarantines "a nice Kiwi welcome" and offer support so they would want to come back.
Canopy Tours general manager Paul Button said while Kiwis needed to be able to isolate somewhere, "the timing is definitely not great with the school holidays coming up".
"It's an opportunity to claw back some of the losses."
Button said it was crucial that any cases were contained in the managed isolation facilities.
"What is going to destroy Canopy Tours as a business is going down the levels ... we can't go back, financially."
He said he had a lot of faith in the Government and the experienced tourism operator was excited to host visitors.
Rotorua rafting owner Sam Sutton said he was worried about the lack of bed space which could have a trickle-down effect on the tourism industry in the future.
He said all those in isolation were human, and Kiwis, and deserved to be welcomed home.
But he questioned why the Government did not wait until after the school holidays or have the facility in Hamilton - instead of Rotorua which relied heavily on tourism.
"The public need to be reassured from the Government ... and give certainty that there is no risk of transmission," he said.
"Being a little more transparent with the information that's going on."
A joint statement by Rotorua Chamber of Commerce chief executive Bryce Heard and president Kiri Tahana to members said what was done was done.
"We will be doing everything in our power to help make Rotorua's sacrifice on behalf of the nation, a worthwhile undertaking."
While they were disappointed with the lack of consultation with local businesses, they supported the facilities being in the city and understood the affected hotels putting their hands up.
Last week, the chamber had forecast a quicker-than-expected economic recovery following reports on trade levels, a busy Queen's Birthday weekend from out-of-towners, and the prospect of a transtasman travel bubble.
They said they would have to recalibrate that assessment based on the new reality.
"Now it is time to come to terms with the new reality and to deal with it. Let's pick ourselves up, recalibrate our plans and expectations and get on with it.
"Rotorua is nothing if not resilient."
This is an issue of national health and local business impact, the statement said, and the circumstances were beyond anyone's control.
"We must make the most of it and work together to make dead certain that it is not all for nothing.
"We will be looking to government for support to compensate for any negative impacts on our local economy."
Destination Rotorua interim chief executive Andrew Wilson said they were confident the Government assurances that the isolation arrangements and process to keep everyone safe was under control.
"There is no risk to our ability to welcome visitors to the city."
He hoped this wouldn't deter people from coming over the school holidays.
"Our operators are looking forward to extending a warm welcome to New Zealanders and the town is ready for a busy and vibrant couple of weeks."
He said forward bookings for that period were still strong.
A Covid-19 national response team spokesman said all facilities used for isolation or quarantine were closely monitored to ensure all the measures needed to keep New Zealand safe were in place.
"As numbers continue to increase we are working at pace to build strong and consistent processes in accordance with the most up-to-date health advice," he said.
This was including transportation requirements and processes within the multi-agency teams who worked at each facility.
"Protecting our border is a critical part of stopping Covid-19 spreading in NZ, and being able to carry out managed isolation in regions across New Zealand is a key part of this."
He said they sympathised with the restrictions travellers faced, but "make no apologies for the fact that there are rules and restrictions in place".
Those returning to New Zealand will require personal sacrifices in order to keep the country the virus, he said.