A group of Te Arawa iwi say they are disappointed and frustrated that Hamilton City Council invited them to develop a proposal for a $25 million hotel but then declined the plan.
The Rotorua-based tribe's commercial arm, Te Arawa Group Holdings, wanted to develop a 150-room hotel with a four-star rating on a car park site in Victoria St.
The city council says while a hotel would be positive for the city, it believes hotels should be developed in other parts of the CBD - not in its arts precinct.
Te Arawa Group Holdings chief executive Roger Pikia believes a change of councillors was partly to blame for the project not going ahead.
