Forget about motels, Dusky Peaks is the best place to stay in the Manapouri area. It's quite spacious (sleeps 4 adults in 2 bedrooms), with a large bathroom and also has cooking & laundry facilities. It has really lovely views of the peaks, but you are off the main road so don't get the traffic noise. A short drive to Manapouri and/or Te Anau (I can recommend the "Church" in Manapouri and "Sandfly" in Te Anau). Highly recommended.