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But many business leaders believe there is room for further expansion which could drive revitalisation and help resurrect the inner city.
In Rotorua, there are 107 apartment units in the CBD and mayor Steve Chadwick said the council also wants to see more inner-city living as part of a comprehensive housing plan being developed.
Chadwick said the council approved investigating potential incentives last year to encourage building improvements and conversions to apartments.
Read more: Tauranga's most expensive and most affordable suburb revealed
Tauranga mayor Tenby Powell went one step further and thinks the Tauranga CBD could be the next biggest desirable suburb.
There is no denying the cost of residential land has skyrocketed in the Bay of Plenty and is one of the factors driving up house prices.
I have never lived in an apartment but I am not opposed to the idea.
Imagine living on the doorstep of your workplace? There would be no time lost in traffic every day battling the daily drive and road rage.
Imagine being part of the hustle and bustle of the inner city and having all the amenities close at hand?
Imagine no more lawn mowing and gardening. That would make more time for hobbies, exploring and travelling.
I think it would be a great option for professionals and retirees and those who would like the lifestyle that comes within.
Read more: Inner-city living could help to revitalise Rotorua CBD, experts say
Auckland and Wellington are great examples of how they have made the most out of valuable space.
Now seems like the perfect time to start building up instead of out.
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