The Rotorua CBD is about to get a significant boost with news of a 36 room Quest Serviced Apartments block to be developed in the city centre.

The vacant, four level building has been bought by R&B Consultants, who will develop the Quest serviced apartments.

Artist's impression of the apartments.

The building is located opposite the old Post Office on Hinemoa Street and was previously known as the State Insurance Building and has a floor area of 2,400m².

R&B Consultants director, Ray Cook, says the development is an exciting and important boost for Rotorua's CBD area, as well as the local tourism economy.

'Quest Serviced Apartments operate more than 130 Hotels in New Zealand, Fiji, and Australia and have an excellent reputation with domestic and international visitors, as well as with travelling business people.

'This development will not only mean new jobs once the development is complete, but also a large number of local jobs during the construction and development phase as we strive to use local contractors wherever possible.”

Ray says part of the development will include earthquake strengthening work to ensure the building meets new building requirements.

He says the apartments will have 21 studio apartments and 15 one bedroom apartments across three levels.

There will be 22 onsite carparks and the ground floor will include a reception area and meeting room, along with a 135m² retail space which is yet to be tenanted.

Ray says construction will commence immediately, with the development due to be completed by the end of October this year.