Mr Elliot singled out the "tenacious" approach of his predecessor Constable Aaron Fraser and Mr Mills whom he described as the driving force behind the project.
"We would not be here today if not for Mike."
Trust patron and Tauranga Mayor Stuart Crosby also praised Mr Fraser whose vision for the nightshelter included wrap-around services to try and break the cycle of homelessness.
"It is a great day, a tremendous day."
He recalled how an article in the Bay of Plenty Times about the search for a site on the perimeter of the CBD had been spotted by the New Zealand Youth Hostel Association's chief executive who contacted him saying: "We have a facility that might suit."
Mr Crosby said afterwards that the number of homeless in Tauranga varied from 40 to 60, depending on the time of year.
A spokesman for the homeless and trustee Andrew Rudduck told the Bay of Plenty Times that the nightshelter was one of the best he had seen.
Ngaitamarawaho kaumatua Peri Kohu blessed the nightshelter and the Reverend Simon McLeay led the prayers.
Tauranga's New Nightshelter
• Beds for up to 20 homeless men
• Kitchen to do their own cooking
• Facility closed and secured from 10pm to 8am
• Inappropriate behaviour and loitering in the area not tolerated