Land at 11 Mission St has been transferred into the ownership of a Māori trust.
The settlement happened on June 18, the former owner of the land Tauranga City Council confirmed.
An agreement has been signed that will see the land leased back to The Elms Foundation - stewards of The Elms heritage site next door to the land - at a peppercorn rent of $1 a year.
Early this morning, members of the Ōtamataha Trust and the Elms Foundation attended a blessing at the site.
The official transfer and blessing concluded a nearly two-year controversial decision-making process.