Further refurbishment was planned for conference facilities and recreational amenities including the pool area, he said.
’Strong signal of confidence’
Priority One chief executive Dave Courtney said the development represented a “step-change in Tauranga’s maturity as a business and visitor destination”.
He said that from an economic development perspective, “this is about more than accommodation”.
“It strengthens Tauranga’s ability to compete for conferences and business events, attract investment and talent by offering a more complete city experience, extend visitor stays and increase spend per visitor, and support Tauranga City’s revitalisation and vibrancy.”
Courtney said it would help remove a “long-standing barrier to growth in the conference sector” and reinforced the region’s position as one of New Zealand’s fastest-growing economic centres.
Priority One chief executive Dave Courtney said Mercure Tauranga would help remove a “long-standing barrier” to growth in the conference sector. Photo / Supplied
International visitor numbers are already on the rise.
Tourism Bay of Plenty statistics show international visitor days increased by 4% in February compared with last February, while domestic visitor days fell by 10%.
International visitor card spending increased by 9% to $12.7 million up on February last year, mostly driven by the United States market, while domestic visitor card spending fell by 6% to $33.9m.
Tourism Bay of Plenty general manager Oscar Nathan said while Tauranga already had a fantastic array of accommodation, “we do need to increase our capacity and accommodation options as our city and region grow”.
“Internationally recognised hotel brands bring with them established global distribution networks and loyalty programmes, which can help put Tauranga in front of a wider international audience.”
Nathan said the introduction of Accor’s Mercure brand would enhance Tauranga’s profile with international wholesalers and tour operators, who often looked for established global standards when booking groups.
Tauranga Business Chamber chief executive Matt Cowley said a globally recognised hotel brought scale, confidence, and international visibility, particularly for business and international visitors, which could help lift demand across the entire accommodation sector.
“This isn’t about replacing independent operators; it’s about growing the whole market.”
Cowley said more visitors staying longer meant increased spending across hospitality, retail, transport, and local experiences.
“It also strengthens Tauranga’s ability to work alongside neighbouring regions, such as Rotorua, to attract international travellers to the wider Bay of Plenty rather than competing in isolation.”
Cowley said the investment sent a “strong signal of confidence” in Tauranga’s city centre and its long-term growth.
“It will support stronger shoulder seasons and more consistent, year-round economic activity for local businesses.”
University of Waikato deputy vice-chancellor Professor Alister Jones. Photo / Supplied
University of Waikato deputy vice-chancellor Professor Alister Jones said its Tauranga campus linked the region to global networks of learning and research.
“Hosting international conferences is a key part of this connection, and as the campus expands, we will continue to broaden our offering.”
Jones said having internationally branded accommodation in the city centre had the potential to support this, including the Australia New Zealand Marine Biotechnology Society Conference in August and the 2028 International Temperate Reefs Symposium.
Both were anticipated to attract national and international delegates to the region, Jones said.
Strong demand expected
Williams said Tauranga was “the gateway to the Bay of Plenty”.
“We think that we can bring in a new type of traveller to the area and really help open up the Bay of Plenty.”
Accor’s chief operating officer in the Pacific region Adrian Williams. Photo / Supplied
Williams said the conference space would attract business travellers and events.
The rebrand meant Accor now operated 49 hotels in New Zealand, including three in Rotorua.
Williams said demand for Rotorua’s Novotel, Ibis, and Pullman hotels had been strong and he expected the same for the Tauranga property.
He said the region had local culture, wellness, and “genuine experiences” which were important for tourism demand.
Williams said Mercure Tauranga strengthened the region’s hotel offering by providing an internationally recognised brand.
The refurbished restaurant at the Mercure Tauranga. Photo / Supplied
“It also provides [visitors] confidence and consistency … in an area that they might not know, they’ve got a trusted global brand which gives them confidence to book and explore.
Mercure Tauranga also offered Accor’s 100 million loyalty members “a new option … they haven’t had access to before”.
Accor said in a statement the hotel’s existing team had been retained with additional roles expected.
A superior room with a king bed at the Mercure Tauranga. Photo / Supplied
Megan Wilson is a health and general news reporter for the Bay of Plenty Times and the Rotorua Daily Post. She has been a journalist since 2021.