Lynmore Junction is being developed by Rotorua's Holmes Group, which has owned the site for 36 years. It is expected to create a significant number of new jobs through construction and the completed development.
Managing director Ryan Holmes said the development would be "unlike anything ever seen in Rotorua before".
"It's a new concept for Rotorua but big in the US," he said.
"At the moment a lot of families travel out of town to do things like trampolines parks or laser tag. We want to provide something that's high quality and innovative."
He said the plans had taken three years so far but now "the hard yards" had been done people would soon see work begin.
The New Zealand Transport Agency has brought forward planned traffic lights for the intersection at Te Ngae Rd and Iles Rd. This is being paid for by Holmes Group to make sure there is safe and easy access to the site and allay any safety concerns.
Mr Holmes said they hoped to start demolition work in the next six to eight weeks and for construction to start in January.
Rotorua mayor Steve Chadwick said it was an exciting development aimed at both locals and visitors.
"We're seeing a substantial development that fits the growth of this great place to play. That's what talks to me."
Mrs Chadwick said Lynmore Junction would appeal to Rotorua residents as well as visitors.
Rotorua MP Todd McClay said it was "an extremely exciting" development on top of others already under construction in the city. "I think it's a vote of confidence and a sign of the positiveness we have seen in the local economy over the past 18 months. Rotorua is a tourist town but this has a great mix of appeal for both visitors and locals."