Rangitikei District Council has been given approval to change 40ha of rural land to industrial land.
Rangitikei District Mayor Andy Watson said the plan change puts it in a fantastic position.
Initially, the council proposed to rezone 216.6ha south of Marton from existing rural land into industrial.
But Watson said after suggestions from the submissions and the independent planner, asking for 40ha seemed more suitable.
"The immediate need for 40ha could accommodate a series of industries associated with forestry and it will also give them the area we need for the rail signings and tees in nicely with the $9.1 million we have been given," Watson said.
The Government announced earlier this week that the money will come from the $3 billion set aside in the Government's Covid-19 Response and Recovery Fund and be used to build a rail hub in Marton dedicated to handling and transporting logs from around the lower North Island.
Watson said the money was dependent on a district plan change or consenting approval of some form.
"We are on our way really, it is subject to an appeal period but one of the things we need to do is be mindful of some of the concerns that have been raised through the submission process around mitigation and we will need to work with those neighbours firstly to make sure that we comply with the commissioner's report but we also need to be mindful of being approachable and being able to listen to their concerns."
Watson said the need for this change started around 15 years ago.
"We've never had the drivers - either the money to put rail in or the degree of interest that gave us confidence - so we had groups of people approaching us saying we are interested in setting up in Marton but there were degrees of confidentiality."
Watson said around three and a half years ago the council was approached by a number of industrial groups expressing interest and work began to get this change under way.
"We had no consents on the table so we went into a district plan process where we said if there was going to be industry here where would it best be located. As things became more specific around bio-forestry we then were able to talk more freely with the community."
During July 2019 the council invited written feedback on the proposals from the community and Watson said there was not a huge number of submissions, they were largely by associated neighbours.
They lodged an application for the district plan change to rural to industrial and once it went through a consultant process they employed an independent planner to provide planning advice to the hearing.
A commissioner was then appointed and the council went through a process of the commissioner listening to all submissions and supporting evidence, and a decision was made on that basis.
Watson said this decision gave Marton the chance to be a major centre of rail link activity for the North Island and give them a platform that enables industrial development.
"It means that down the track we could have hundreds of new jobs that are highly paid and we desperately need people in our district, we need people and people spending money to be able to support our retailers, our schools, everybody else."
Watson said in general terms the 40ha will be situated on the western side bounding the rail corridor through to Makirikiri Rd.