City Focus renovations will not be completed for at least another seven months with construction delayed after no suitable tenders were received for the work.

Work on phase two of the new-look Rotorua City Focus was expected to begin at the end of last month, following the tender process. But the lack of construction companies willing or able to take on the project has meant the major roadworks component of the upgrade will not happen until the first quarter of 2017.

Councillors at today's Rotorua Lakes Council operations and monitoring committee meeting will get a verbal update on the City Focus project. However council chief executive Geoff Williams confirmed to the Rotorua Daily Post only one tender had been received for the project and it was not accepted.

"We found out the reason we did not get a large response from contractors was because they are extremely busy."

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"We have removed the timeframes for the work to be done by but we are yet to nail down an exact time when it can be done. That being said, we will not be able to do any of that major construction prior to Christmas so it is likely to be in the first quarter of next year."

But he said the space would not be left in its current "middle of the road" state, with some minor works being undertaken.

"In the meantime we will continue with the smaller upgrades including the removal of the two remaining pillars, lighting and refurbishment of the poles."

"Our objective is to do as much as we can during this time so the area still looks well presented and attractive."

Inner City Focus Group member Mike Steiner said while retailers were disappointed, there was no adverse reaction to the delay.

"We are victims of our own success. The city is building and as a result, construction companies are full with work. While naturally we were disappointed by the delay, we fully understand the situation."

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Other items to be discussed at today's meeting include the disposal of surplus property on Lake Rd, operational and financial updates for Rotorua Contracting Ltd and Destination Rotorua Business Unit, and an operational report for April and May.

In the confidential section, the committee is set to discuss the Taniwha Springs water supply and a strategic property purchase.

The meeting starts at 9.30am in the council chamber and will be livestreamed on the council website.

- Additional reporting Rebecca Malcolm