Civic precinct and new courthouse drive Tauranga CBD’s half-billion-dollar transformation

“Construction of the library and community hub is progressing well and remains on track for public opening on October 15, 2026.”

Wallis said the museum and civic whare facade works would be completed by April 2027.

“Completion and opening are currently planned for mid-2028.”

Wallis said the development’s rates-funded debt had been capped at $151m.

He said the balance would come from alternative funding sources such as grants and central government funding programmes.

Those included a $12m Better Off government grant and a $21m TECT grant.

Wallis said the council would sell some of its assets and use the proceeds to offset new debt and rates-funded interest.

The council had looked at using airport or parking surpluses, but decided against this as “these would only shift ratepayer funding sources and would not meet the council’s transparency expectations”.

The release of $3m from contingency funding set aside for the civic precinct had also been approved.

Wallis said council-approved landscaping changes had reduced costs by $4.85m.

He said the precinct’s projected annual net operating cost, once operational, was about $26m.

“This would be funded through a mix of general and targeted rates, consistent with how most public libraries, museums and community facilities across Aotearoa are funded.”

He said final operating costs would be reviewed in the Long-Term Plan and could change, depending on the confirmed operating model.

“By 2035, the precinct is projected to attract around 5500 visitors a day.”

Wallis said visitor spending, business activity, investment confidence, and city centre growth would generate more than $1 billion in economic benefits over 60 years.

“The precinct is intended to strengthen Tauranga City Centre as a destination for residents and visitors.”

Seventy-eight commercial building consents were issued in the council’s “city centre study area” across 58 sites between May 15, 2024 and May 15, 2026.

This area covers the core commercial area between Cameron Rd, The Strand, Marsh St and Fourth Ave.

Construction was underway for the new $206m Tauranga High and District Court on the corner of McLean St, Willow St and Monmouth St.

Ministry of Justice deputy secretary for corporate services Kelvin Watson said the project was six months into construction.

Watson said the new courthouse was expected to be completed and operational in late 2028.

Full project completion, including demolition of Cameron House, was expected in early 2030.

Watson said the project would provide 13 courtrooms across the new courthouse and McLean House, which would be connected via a pedestrian bridge.

“This will provide increased capacity for High Court jury trials and judge-alone hearings and create fit-for-purpose public spaces and wraparound service areas.”

The $80m seven-storey office building at 2 Devonport Rd – with Craigs Investment Partners as the anchor tenant – would be finished by the year’s end.

Richard Cashmore, a spokesman for the developers, said Classic Group had also taken space in the building.

Cashmore chairs the group of five Tauranga families who own the site.

He said the developers were in negotiation with two other parties for the retail and hospitality space on the ground floor.

Last year, law firm Holland Beckett moved into the completed Northern Quarter office and hospitality development at 45 The Strand.

Developer JWL Investments general manager Chris Morris said two office spaces and two hospitality spaces were still available.

He said finding tenants “willing to commit” had been challenging.

“There’s a fair bit of vacant office space around town at the moment.”

However, he said CBD activity would create more vibrancy and attract new people to town.

The Bay of Plenty Times reported in 2025 that the anchor tenant in the $80m Panorama Towers building on Hamilton St would be private surgical facility Asclepius Surgical.

Panorama Towers is a joint venture between Carrus Group, Watts Group Investments, and Quayside Holdings – the Bay of Plenty Regional Council’s investment arm.

Tauranga City Council sold the failed transport hub site to developers in 2021.

Carrus managing director Scott Adams told the Bay of Plenty Times in February that other tenants had not yet been secured.

He said the building expected to provide 200 public car parks, accessible from Harington St, towards the middle of this year.

91 Willow St - Te Manawataki o Te Papa

Building envelope for four building components: exhibition building, museum building, atrium, civic whare building.

$18,000,000

24 Oceanbeach Rd

Construct a two-level four-bedroom dwelling with an attached double garage.

$1,900,000

138 Oceanbeach Rd

Construct a two-level three-bedroom dwelling with an attached double garage, with pool fencing and retaining wall.

$1,800,000

111 Pengary Lane

Construct a single-storey six-bedroom dwelling with an attached triple garage.

$1,560,000

16B Orkney Rd

Construct a three-level five-bedroom dwelling with an attached double garage and a retaining wall.

$1,475,946

Bijou Johnson is a multimedia journalist based in Bay of Plenty. A passionate writer and reader, she grew up in Tauranga and developed a love for journalism while exploring various disciplines at university. She holds a Bachelor of Arts in Classical Studies from Massey University.

Clarification

This article has been updated to clarify that the council will not use airport surpluses for Te Manawataki o Te Papa. The council acknowledged the information regarding funding on its website was unclear.