Ferris, 44, will lead Fairfax's 100-strong Auckland newsroom that services the Sunday titles and a stable of community newspapers and websites, as well providing Auckland coverage for the wider Fairfax group, the company said in a statement.
He takes up the role on February 4 and beyond his online role faces haemorrhaging circulation for the Sunday papers.
Most recently Ferris has held senior roles in Queensland with News Limited, including a stint as deputy editor of Brisbane's Sunday Mail. He was editor of the Mountain Scene community newspaper in Queenstown from 2004 to 2010 when the paper built a strong reputation.
Fairfax sources said that the morale and the editorial product at the Sunday Star-Times had improved markedly in recent weeks and hoped the appointment of the Auckland editor-in-chief may improve its status.
Both Fairfax Sunday newspapers have been hit by severe circulation drops.
In the 12 months to September 30 the Sunday Star-Times lost 14.2 per cent of its circulation and the Sunday News lost 16.7 per cent.