Tauranga iwi Nga Potiki o Tamapahore has signed a Treaty settlement giving it just over $3 million and the return of tribal land on which it plans to build homes.
The land returned to the iwi includes half of a 100 acre block in Papamoa, which is shared with the Waitaha Nui a Hei tribe.
Nga Potiki trust chairperson Colin Reeder says there are plans for the two iwi to develop up to 400 houses in the area.
He says Nga Potiki is already involved in social housing projects and would like to use the returned land to expand that, creating create homes for whanau and for the market.
Mr Reeder says the project will produce tangible benefits for future generations.