Tauranga City Council is proposing to develop or sell some of the land at Smiths Farm in Bethlehem, on farmland between Cambridge Road and Takitimu Drive.
The land, owned by the Council is currently zoned Rural Residential.
It was previously planned for new sportsfields development but is now surplus to sportsfields requirements.
The Council is about to consider an option that would help accommodate the city's growth, by fast-tracking urban development in that area.
This would be achieved by establishing some of the Rural Residential land as a Special Housing Area, allowing for suburban residential development.