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Rotorua is standing out from the rest of the country, according to the latest Infometrics Quarterly Economic Monitor, with the district recording positive movement across several key areas, despite a challenging national economic environment.
The city has recorded a 1.4 per cent increase in guest nights – a strong contrast to the national decline of 2.7 per cent.
The housing market is the standout area, with residential consents in Rotorua surging by 40 per cent, compared to a national decline of 3.3 per cent. House values rose by 3.8 per cent (against a national drop of 2.1 per cent) and house sales jumped 15.7 per cent, exceeding the national growth rate of 12.5 per cent. These results point to growing confidence in the local property market.
“Increases in the average residential rent in the district of 4.4 per cent in the year to March 2025 (higher than the national increase of 2.7 per cent) highlight sustained demand and the need to encourage further housing development,” says Rotorua Lakes Council GM destination development Jean-Paul Gaston.
Further positives include a reduction in greenhouse gas emissions by 1.3 per cent, ahead of the national decrease of 1.0 per cent, and growth in new businesses, with business unit numbers lifting by 0.5 per cent.
RotoruaNZ chief executive Andrew Wilson says the results signal a positive trajectory for the district.
“The numbers are a strong indication that Rotorua is heading in the right direction. Despite the national context, we’re seeing resilience and renewed energy in our tourism and housing sectors. The growth in guest nights and tourism spending speaks to Rotorua’s enduring appeal, and the uplift in residential development and house sales reflects real confidence in our future.
“We still have work to do, especially around employment, but the momentum is shifting, and these results highlight the strength of Rotorua as a great place to live, visit and invest in.”
“These positive results are massive news for Rotorua and shows how focused and committed we’ve been to ensure the best future possible for our community,” says Rotorua Mayor Tania Tapsell.
“We’ve not only turned Rotorua around but managed to rise above the bar and boost our local economy through smart investment to grow much needed housing, as well as achieving standout statistics in our visitor economy.”