Rotorua could rival the likes of Scandinavia and Germany in future years, becoming a national leader in panelised prefabrication construction.
This week more than 40 builders, architects and engineers attended a Grow Rotorua wood-first panelised prefabrication workshop with Offsite Design managing director and consultant Johann Betz.
Mr Betz said Rotorua could become national leaders in the modern and innovative approach to construction, due to the city's forestry resources and nimbleness as a small city.
Building with panelisation held appeal because most of the construction took place in warehouses, minimising weather delays.
The challenge for Rotorua was to get into the fabrication of building components and make them here. "You already have the trees. This is now about figuring out ways you can add value to it locally and employ locals to undertake it, and I think, especially with a wood-first policy, it should be easy to achieve."
Sigma Consultants principal architect Damian Jensen believed panelised prefabrication would take off in the commercial industry in Rotorua.
"It was good to hear and see how successful it is overseas and there's no reason it can't be done here in Rotorua."
Rotorua's R&B Consultants developer Ray Cook had been the first to lead the way with a wood-first concept, motivated by geotechnical issues often found throughout Rotorua.
"We would never have been able to build a two-storey building on some sites as it would be too heavy, but the great advantage of prefabricated cross-laminated timber panels (CLT) is that they are much lighter than concrete.
"Being a geothermal centre we come across a lot of geotechnical issues in Rotorua, and if this build goes as easily as we predict, developers and investors are sure to take advantage."
For existing construction companies, the shift towards prefabrication was not difficult as it was essentially "building with a different type of material". However, Mr Betz said, the entire process might prove challenging as it required collaboration with architects, prefabricators and engineers from day one.
"Despite challenges, greater control over the final price of buildings is achieved through this holistic construction approach as any issues are immediately addressed and those involved were more prepared."
He said there was a general misconception that prefabrication was a capital heavy, fully automated process, but instead it encouraged start-up businesses to start out small.
"All you need is a large warehouse space, a table, and two carpenters working with a nail gun to produce prefabrication, and organic growth is very easy to achieve - if you can do something small such as a residential building, there's nothing holding you back from going bigger."
It offered the opportunity to pioneer environmentally friendly and sustainable buildings.