Plans have been revealed for a $15 million development that could bring more than 100 jobs to the city.
Developer Paul Spillane, of Mount Maunganui's SNG Investments, revealed plans to develop an empty section opposite Tauranga Hospital yesterday.
Currently a carpark, the section of Cameron Rd between 18th Ave and 19th Ave could soon contain a 1200sq m centre for independent medical specialists, a 22-unit motel and a childcare centre.
Mr Spillane told a Tauranga City Council meeting that construction would keep 30 to 40 builders busy for a year and the completed development would employ more than 100 people.
Eighty-five per cent of the development was already leased (subject to resource consent) and filling the rest would not be a problem, he said.
"Considering the current economic environment, this is good news for the city and it is good news for the developer.
"My development will bring many benefits to Tauranga city ... including a huge increase in rates income for the foreseeable future. What an investment this is for the city."
The centre for medical specialists would feature a pharmacy and a cafe, while the motel would cater for people visiting loved ones in the hospital, Mr Spillane said.
The childcare centre would be operated by New Shoots, which runs a childcare centre in Papamoa.
The only hurdle Mr Spillane could foresee was an "unreasonable and unfair" council expectation the developer pay the total costs of upgrading Cameron Rd to handle the increased traffic.
Under the proposed City Plan, Cameron Rd near the hospital would need to be upgraded to cope with the extra traffic such a development as Mr Spillane's would generate. The cost could be part of the development.
Read more in Tuesday's Bay of Plenty Times