If it hit the east heavy rain would be a concern, whereas if it was the west wind would be the greater impact, he said.
"One thing we are pretty confident about is it is likely to be a sharp but short event."
Yesterdayit had gone down to a Category 3.
Fire and Emergency Central Lakes area manager Jeff Maunder said Tropical Cyclone Hola was expected to downgrade to category 1 or ex-cyclone before impacting New Zealand.
Therefore, the fire department was not increasing the number of staff on duty or doing other planning, other than keeping an eye on it.
He said tips for people leading up to bad weather was to not have loose items lying outside that could be blown around or damaged.
Rotorua police area prevention manager Brendon Keenan said police typically did not put extra staff on when there were cyclone warnings, as it just fit under the umbrella of the police's job.
However, road policing can be affected, with the likes of trees down and flooding.
He encouraged people to watch their following distance, road flooding and driving conditions on the road.
Rotorua Lakes Council primary Civil Defence emergency management controller Stavros Michael said the council continuously monitored developing weather patterns.
"Like any severe weather event which may possibly descend on Rotorua, we encourage residents to prepare just in case and remind them to avoid non-essential driving and ensure drains and spouting around your home are clear."
He said the warning was also a chance for residents to check their emergency supplies and resources in case there was a power outage.
Reports of flooding, slips or fallen trees can be reported to the council by calling (07) 348 4199.
Michael said when severe weather was expected for the district, staff remained on standby and activated preparedness measures including monitoring inflows to the Wastewater Treatment Plant and notifying contractors about the approaching weather.
