Bunnings has had difficulty finding a suitable site for a large store in Hawke's Bay - the current site is small by the company's standards.
In 2004, Bunnings had an option to purchase the current Mitre 10 Mega site in Prebensen Drive but let the option lapse while waiting on ratification from its Australian head office, allowing the Hawke's Bay-based Ricketts family to secure the property.
In 2011 the Environment Court turned down Bunnings' appeal for zoning of a 10,263sq m site on the corner of Pakowhai and Evenden Rds because it was zoned for food production.
Bunnings closed its Napier branch in 2014 with the loss of 23 jobs, saying it was too small and it was actively looking for a suitable site in the area.
Turley & Co property valuation and strategy director Pat Turley said Bunnings' new Hastings footprint was much bigger than its current site.
"The Warehouse site ticks most of the boxes for Bunnings, it has for years struggled for a Hastings site big enough and one where it's not blocked," Mr Turley said.
"It will be good for The Warehouse's old site to be busy once more and better for the CBD than prolonged under-use and vacancy - a busy carpark should have spinoffs for nearby retailers."
The Warehouse moved to large-format retail centre The Park Megacentre on nearby Karamu Rd in 2011.
Until recently part of its former 4000sq m building was occupied by The Clearance Shed, which recently moved to the The Park Megacentre, where it occupies the former FCO building.
Bunnings' current King St site was to be the home of an aggregated Totara Health and Hastings Health Centre, but the project was abandoned early this year. Totara Health General Manager Emma Foster said there were no plans for the site.