A new special housing development would mean more Rotorua people will be able to get on to the property ladder - and it could also bring new jobs, those involved with the project say.

The housing development at 31 Ngongotaha Rd, which would see 190 new houses built, was launched Friday by developers, contractors and Rotorua MP Todd McClay.

It came a day after the project passed another hurdle in getting fast-tracked under Rotorua's Special Housing Accord, with the Rotorua Lakes Council voting to recommend the site as a Special Housing Area to the housing minister.

Martin Schilt bought the land about a year ago, with the idea of developing it.

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The Special Housing Accord meant it could be a more streamlined process, he said.

If a plan change had been required, the project could have "ended up in the Environment Court for three or four years".

He said the majority of people living near the development were happy with it.

There would also be plenty of green space as part of the development, including a park and playground in the centre, according to plans.

"We're not just going to squash a whole lot of houses there and walk away.

"It's a perfect recreation spot."

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The development would also have environmental impacts, with the amount of nitrogen going into the lake set to be reduced once animals were taken off the land, he said.

Sabre Construction construction manager Piet Holwerda said the development would include a mixture of one, two, three and four bedroom houses, as well as possible terrace housing.

"It's really good for Rotorua."

They were hoping to get the project "across the line as fast as possible", he said.

If given the green light, work could start the next day, he said.

Using pre-fabricated houses, they believed the construction process would be 30 per cent faster than a traditional build.

There would also be no waste material, as the houses would be made off site, he said.

"It's definitely a good option for this development."

He also believed the development would create a lot of work opportunities.

Rotorua MP Todd McClay proposed the Special Housing Accord, and said the new development, the first under the accord if approved, was "exciting".

He believed people might be in for a surprise about just how much Rotorua had grown when results from the latest Census are released, and he said he could see no reason why the minister would not give the development the tick of approval.

The development could mean a chance for people to buy their first home, he said.

Associate Housing Minister Jenny Salesa would be the one to make the call on whether the development was approved.

A spokesperson for Salesa said she would consider a range of factors, including the district plan, the adequacy of infrastructure, and evidence of demand.

"If the minister is satisfied that the proposed SHA meets all of the above requirements, the minister can recommend the establishment of the SHA through Order in Council which is then drafted by the Parliamentary Counsel Office (PCO).

"The authorisation to make the Special Housing Area is then subject to Cabinet decision. The timeframes for drafting an Order in Council can vary depending on the complexity of the SHA."