Mayor Bill Dalton spoke to the crowd about how the redevelopment has put Napier back on the map.
"Marine Parade is the jewel in Napier's crown."
The newly completed Reef Garden links the beautiful Sunken Gardens with Bay Skate in an area which all people can enjoy, he said.
It is now a place where families can play, picnic and relax while reflecting on how wonderful Napier is.
Redevelopments like this, the Napier Aquatic Centre and the National Aquarium of New Zealand will be a huge boost for the region, Mr Dalton said.
Already Bay Skate has exceed expectations, with more than 2000 people visiting a month.
Marine Parade Redevelopment Committee chairman Keith Price said the project has brought new energy into the area which has already become massively popular.
"Marine Parade was like a derelict cowboy street with tumbleweed."
An event like Saturday's with hundreds of people enjoying the entire space really proved how great the redevelopment was, he said.
"It's just a proud day."
Napier resident Tracey Sherwin said she now brings her children to Marine Parade as often as she can and planned to be there all summer.
"It's awesome, the splash pool is fantastic for the kids. The more stuff for kids the better.
"The bike park is where we hang out mostly, and the playground."
Napier man Hayden Jensen, who came with his 4-month-old son, said he could not believe the changes that had been made to the area, especially the Reef Garden.
"It's kind of quite surprising, it use to be a huge carpark."
He had initially been disappointed about the closure of Marineland (where Bay Skate is located) but said the area has been put to good use and the whole redevelopment made it a nice place to visit.
Megan Thomson, who lives in Napier, said she was impressed with the project because it had enhanced the space for families.
"I think it's an awesome place, they've done a great job.
"The kids are going to have a great time in summer, we come to the playground all the time."
The Family Fun Day included music, prizes, bouncy castles and entertainment as well as stars of the Taylor Hawks checking out the new outdoor basketball court.
Adam Green from The Hits Hawke's Bay acted as MC and Napier City Council facilities along Marine Parade had half-price entry throughout the day
