"It shows that all the positive energy, hard work and effort that has gone into tourism and infrastructure is paying off."
Along with Napier's people, coastal location and clean green image, the deputy mayor said the ability for families to lead healthier lifestyles was what made Napier so attractive.
"The cycleways around Napier, especially Marine Parade, mean the whole family can get out and about without it costing a lot of money."
People's opinion on Napier's MTG Hawke's Bay had also improved after critical reviews since it was redeveloped in 2013. It achieved a 7 per cent higher satisfaction rating than last year.
MTG director Laura Vodanovich said museum staff had noticed an increase in visitor satisfaction through their comment cards visitors left upon departure.
"We've seen a lot of people commenting on the fact that the exhibition has changed. They mention that there's a lot more to see, new exhibitions and that our front of house staff are really friendly."
After living in Napier for 18 months Ms Vodanovich said Napier is "definitely" a desirable city to live in.
"There's a nice, light feel about the city with lots to do and places to go. The people are also really friendly."
Mayor Bill Dalton said he's pleased with the results of this year's survey.
"Napier is a wonderful world-class city, full of opportunities for growth, and it's fantastic that Napier residents are increasingly aware of this gem they are lucky enough to find themselves in."