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Taupo is small but packed with restaurants, bars, and hotels on the north end of Lake Taupo. It was centrally located, and the right distance from things I wanted to visit. It is also very close to a large number of commercialize tourist activities that I didn't want to visit. View from the parking lot was better than the room (not shown because it was a dirt embankment.)

Lake's pretty from all directions. Video below from Taupo to Mt. Ngauruhoe.