The possible redevelopment of a large retail and office site for sale on Devonport Rd could be a "game changer" for the CBD and would be an "opportunity missed" if not done, local business leaders say.
The 1797sq m area in Tauranga's CBD is up for sale for the first time in 14 years with two investors and a developer actively pursuing it.
Local business leaders say it would benefit the city if it was transformed into a mixed-use hub for the city centre.
Priority One chief executive Andrew Coker said if the block was not developed, it would be an opportunity missed.
"It is an extremely important location with real potential to drive city centre vibrancy. The site's linkages to Red Square and the waterfront provide a significant opportunity to lift city centre flow, connectedness and vibrancy."
Priority One was aware of an increasing number of businesses that wanted to be based in the city centre, he said. Good quality office space and apartment accommodation would see a change of retailers in order to meet the needs of a growing community of highly paid workers and city-centre apartment dwellers, he believed.
Mr Coker said he would like to see the ground level become a hub for day and night hospitality that flowed on to Red Square.
Mayor Stuart Crosby said it was a "very, very important" block in terms of opportunity.
"One of the barriers in the redevelopment of the CBD is not having enough larger sites available for sale ... This site creates the opportunity for something of scale."
Downtown Tauranga chairman Glenn Tuck agreed the redevelopment could be "another of those game changers that we are beginning to see happening in the CBD".
"This block of land is a very important landmark in the CBD and has the opportunity to be that iconic building and location."
It had the potential to hold "new key retail" on the ground floor with "A-grade" office space above, he said.
Tauranga City Councillor Matt Cowley, who recently shared his ideas on how to pull more people into the CBD, said the property was "a great opportunity" for developers.
"A well-designed building, which is friendly on the eye, would enhance the Red Square and attract more people into the heart of the CBD. The site has scale, which is a rarity in the heart of our CBD. I'm sure developers will look at options to purchase adjacent sites to achieve even greater scale.
"It has prime views up Devonport Rd and along The Strand, with great views of the harbour. The site has potential to complement the proposed [consented] hotel further up Spring St."
The council had eased its planning rules to encourage mixed-use buildings, including a mix of retail, commercial and accommodation, he said: "A successful development will attract more potential customers into the CBD, who may spillover into neighbouring retailers."
Street View: What would you like to see happen to the site, if anything?