"New people bring greater diversity, new skills and talent, new ideas and thinking and in some cases, new businesses and innovation."
Rotorua had progressed in recent years and indications pointed to that momentum continuing, said Mrs Chadwick, so she would like to think Rotorua would see its population continue to grow.
A growing population also presented challenges, Mrs Chadwick said, as it put pressure on infrastructure like roads and wastewater, on public facilities and amenities, health and social services and housing stock.
"But challenges are also opportunities and I think Rotorua's well-placed to deal with future growth."
When asked what the council was doing to ensure there was enough housing for new residents, Mrs Chadwick said the council was working on future-proofing infrastructure and there were opportunities to add to the housing stock.
"There's plenty of land zoned for subdivision with the potential, in total, for more than 1000 lots, depending on landowner and/or developer decisions and any constraints that may apply."
Ann Crossley, principal of First National Rotorua and district forum leader for the Real Estate Institute of New Zealand, said the figures made sense because there had been a noticeable pressure on the market over the past year.
During that time Mrs Crossley said there had been no sizeable new offering of residential land "which is putting pressure on what we've got".
She said that was coupled with the fact people saw Rotorua as an alternative investment vehicle.
Mrs Crossley said a growing population was a positive going forward for Rotorua.
"The last 10 years there has been no noticeable growth in numbers but people are recognising the fact that Rotorua is a really good place to live."
President of the Rotorua Chamber of Commerce John McRae said he was surprised the population growth was only 1.8 per cent for 2015 to 2016.
"I would have expected a lot more than 1300 people, more of a significant lift. [We have a] number of people shifting to Rotorua and job opportunities and number of employers massively expanding. As a business owner Rotorua is a great place to be.
" . . . my expectations are that it will become larger."
Rotorua's deputy mayor and economic development portfolio lead Dave Donaldson said the growth didn't surprise him.
Mr Donaldson said he thought contributing factors could also include a spill over from Auckland and locally the number of Kiwis returning from Australia.
Aucklander Kate Patterson moved to Rotorua in April last year to be with her partner who is from Rotorua.
While she loved living in the city, "less traffic, less lifestyle dramas", Ms Patterson said she did find it hard to find a job and was unemployed for her first five months.
"However I love it [here], it's so much more relaxed, people are much more friendly. There are little places to go for walks ... it's nice all round . . ."
Ms Patterson said she and her partner bought a house in Ngongotaha at the end of last year, something she said would be impossible for them to do in Auckland.
Destination Rotorua chief executive Michelle Templer said the record growth in population statistics reinforced just how desirable and vibrant Rotorua was as a place to live, work and play.
When asked about the Love Life, Live Rotorua campaign, she said it was a response to local businesses continuing to emphasise the need for Rotorua to retain and attract people with the right skills and who were committed to the community.
"While this campaign is still in its early stages, that the city continues to grow is a positive sign for local businesses and Rotorua's future."
Brendan Moore, 48, moved from Auckland "for a lifestyle change" at the end of November after buying a house in Rotorua in October.
Having moved to New Zealand from the UK nine years ago he said it had struck him that he hadn't moved over "just to commute to the city centre and sit in an office".
He was working on setting up his own personal training business, and was looking forward to the trail running, white water rafting and, as a triathlete, swimming in the blue lake.
Mr Moore said Destination Rotorua's Love life, Live Rotorua campaign wasn't the push he needed to move down but was confirmation he was doing the right thing.
He said the morning he put his Auckland house on the market was the first day of the campaign.
"I thought yeah, this is the universe telling me it's the right thing to do."
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Rotorua's population growth
-1996: 66,600
-2006: 68,100
-2016: 70,500