Rotorua is one of several centres being eyed by American fast-food restaurant chain Carl's Jr in a $120 million New Zealand expansion drive.
But a local nutritionist says Rotorua does not need another fast-food outlet with nine already in the city.
Ian Letele, a New Zealander of Samoan descent who is Carl's Jr's Singapore-based Asia Pacific vice-president, was this week searching for properties as part of plans for 30 outlets.
"We're looking at Pukekohe, Lincoln Rd and Manukau. They're still deals under discussion. I was down in Rotorua, Tauranga and Hamilton on the weekend," he said.
Each restaurant was a $3 million to $4.5 million investment, he said, giving an indicative business plan that franchisees spend $120 million.
But Letele expressed frustration at the chain being called one of the world's worst, particularly for a notorious foot-long cheeseburger with twice as many calories as KFC's Double Down.
"A lot of the media talked up the foot-long hotdog which was never launched. But it was helpful to us because people became curious about the menu," he said.
Letele said he knew of the dangers of obesity: "Moderation is the key - I have aunties and uncles who are overeating."
The chain seeks sites of 1700sq/m to 2000sq/m, restaurants of up to 300sq/m and parking for 20 to 25 vehicles. Rotorua District Council planning services manager Liam Dagg said they had not received an application for resource consent or had any discussions yet with the chain.
But Rotorua nutritionist Tatjana Slovic of Good Nutrition said Rotorua did not need another fastfood outlet.
She said the results of a recent national nutritional health survey showed there had not been much improvement since the last survey in 1997.
"It doesn't show that we have got much lighter or healthier."
Miss Slovic said these type of outlets normally attracted young people and it was not a place which was encouraging them to make the right choices.
She said her main concern was the high amount of meat and cheese in the burgers which contained a high amount of saturated fat.
Miss Slovic said she intended to lodge a submission opposing the restaurant being established in Rotorua.
A Wendys restaurant opened in Rotorua in August last year and a fourth McDonald's opened in 2010 creating 100 more jobs between them.
A recruitment open day for Wendys attracted applications from 350 job seekers.
Carl's Jr will soon open a drive-through in Auckland's Avondale.
Stores in the United States turn over around US$1.5 million ($1.8 million) annually on average, Letele said.
Debate about the chain is strong in Avondale with Duncan Macdonald, chairman of the Avondale Business Association and deputy chairman of the Whau local board, backing Carl's Jr but board chairman Derek Batters saying the US chain had targeted low socio-economic areas.
- additional reporting APNZ