The hotel is an ornate two-storeyed structure with hipped roofs, a verandah and a prominent first-floor balcony overlooking the Domain. It appears to have begun as a rectangular, possibly pre-fabricated building, measuring 18 x 9 m (60 x 29 feet). Its enlargement in 1885 converted it into one of the most imposing hotels in the town, catering for a predominantly genteel clientele. These modifications appear to have been designed by Henry Crump, who laid out the grounds in the Domain. When enlarged the hotel contained eighteen bedrooms - accommodating invalids on the ground floor - as well as sitting rooms, a billiard room and a well-appointed dining area. The large first-floor balcony was especially popular for relaxation, and was occasionally employed for informal concerts. The building was further enlarged by 1902, when it contained 37 bedrooms and was known as the Grand Hotel. The subsequent history of the building reflects the gradual decline of the resort, when other famous establishments in the town - including the Hot Springs Hotel - were demolished. The ground floor was heavily modified when converted into a tavern, but the building exterior and parts of the interior retain their earlier form.
The Grand Tavern is of historical and architectural significance for demonstrating changes in the use of hotels during the late nineteenth century, from work-related lodgings to genteel places of retreat. It is a notable example of Victorian hotel design in New Zealand, with characteristics typical of the building-type such as a sweeping verandah, hipped roof and street corner location. The building is important for its associations with the beginnings of geothermal tourism and attitudes to health, disability and leisure. It is valuable for its links with the history of gold mining, having its origins in one of the last gold rushes in the country. The building illustrates the changing fortunes of Te Aroha township, being the only surviving hotel to date from the gold rush and foundation of the spa. It is particularly significant as part of a larger historic and archaeological landscape, which includes the extensive historic area at Te Aroha Domain. Its history is closely linked to that of the Domain, being deliberately designed to be visible from the Domain's main promenade. The hotel retains strong townscape value for its position along the street front, and makes a significant aesthetic contribution through its long balcony and verandah. The building is associated with important characters in colonial history such as John Logan Campbell (1817-1912), an influential Auckland pioneer and entrepreneur. It has also been the location of notable local events, including meetings that led to the foundation of the Te Aroha Jockey Club.




