Otautau is a thriving rural town between Invercargill and the tourist centres of Te Anau and Manapouri.

This area of Western Southland is renown for its progressive dairy industry, sheep farming and for forestry. It is also famous for its fishing, especially for large brown trout.

Otautau Hotel and hotels like it are the heartbeat of rural New Zealand. This is where locals come for a drink, for a chat with their neighbours, or for a meal away from home. Local farmers and foresters call in for a beer, or for takeaways, or for accommodation at reasonable prices. Tourists travelling from Invercargill to Te Anau and other scenic locations stop in for a drink or to ask directions. In short, The Otautau Hotel provides friendly hospitality for everybody, and has been doing so for over 133 years.

The present owners have run the Hotel for several years but have now put it onto the market because of changed circumstances. The hotel has a regular bar clientele and is well known for its clean and affordable accommodation. It is the dominant force in the local market for food and drinks and this is reflected in sales of more than $0.63 million and a gross profit of $232, 622.

Otautau Hotel is being sold as a freehold going concern business that would ideally suit a husband-wife partnership who have experience in the food and hospitality trades.

• Beers, wines and spirits from the public bar, lounge bar and garden bar
• Beers, wines and spirits from a franchised bottle store (off licence)
• Accommodation in single and twin rooms with shared facilities
• Restaurant meals and takeaway foods

The Hotel also operates a number of gaming machines under the auspices of The Southern Trust. These gaming machines are located in a separate area off the public bar.

The Hotel has accommodation facilities for short and long term guests. 

The 8 upstairs bedrooms are accessed from the downstairs foyer area via a gracious wood-panelled stairway. Guest rooms are a mix of single and twin rooms with shared bathroom facilities.

There is another bedroom downstairs.

Accommodation facilities have been recently renovated including two new showers and a new toilet. Mains pressure hot and cold water has also been installed along with two nightstore electric heaters.

Restaurant:
The restaurant on the ground floor is used daily for house guests and casual travellers. 

It is well appointed with tables and chairs, linen and glassware. 

It is a popular venue for local functions because it seats 50 people. There is an enclosed fire place for warm winter ambience.

The business has franchise agreements with a supplier of beers, wines and spirits for the bottle store and with a food supplier for fried chicken.

• Franchised Liquor Centre (drive through bottle store) for cheaper liquor. The franchise fee is $250 + GST per month.
• Country Fried Chicken Ltd franchise that provides chicken plus seasoning and batter mix. The franchise fee is $50 + GST per month.

There is a private garden bar and barbecue area behind the public bar and there is a large gravelled car park at the rear of building.

The hotel ground floor (336 square metres) comprises entrance foyer, public bar, lounge bar, bottle store, toilets, kitchen, restaurant, storage rooms and an office. The bottle store can be accessed from a driveway that leads from Main Street to the rear carpark.

The first floor (146 square metres) has bedrooms, bathroom and toilet facilities and a Managers Apartment.

The fixtures and chattels in the Otautau Hotel are valued at approximately $100,000 (March 2004). Main items include:

• Bar, bar equipment, bar furniture, glassware, walk-in chiller, display refrigerators, sound system
• Bottle store display refrigerators, counter
• Restaurant, tables, chairs, cutlery, crockery, glassware
• Kitchen furniture, fryer, grill microwave, dishwasher, benches, counters
• Garden bar tables, chairs barbecue
• Bedroom furniture, furnishings, linen, towels
• Fixed floor coverings, light fittings, wall decorations, electric and solid fuel heating
• Office computer, printer, software, phone, fax
• Electronic cash registers (4), Eftpos terminals (2)

A 1994 Toyota Hiace Van courtesy coach is also available, if required, at valuation.

Southland is ideal for those who want to escape noise, hustle and bustle, pollution, high rise buildings, and neon lights of the big city.

Otautau (population 900) in western Southland is the service town for a large sheep and dairy farming community and for expansive areas of farm and plantation forestry. A large sawmill within the town employs approximately 100 people on two 8-hour shifts. Otautau is also home to a large transport and logging business that services local farms and forestry.

The town has a Primary School, a 9 hole golf course, two squash courts, covered swimming pool, tennis courts, netball courts, bowling green and a large gymnasium.

Otautau is 50 km from Invercargill (about 40 minutes drive). Hunting, fishing and boating are popular sports within the area and Lakes Hauroko, Monawai, Manapouri and Te-Anau are all within one hour's drive of Otautau.

Otautau is just a 20 minute drive from the seaside town of Riverton.