Palmerston North City Council and Horizons Regional Council have agreed on a plan for housing and business growth across the city and wider district for the next 30 years.
The Future Development Strategy is the blueprint for where and how growth can happen and what infrastructure will be needed, Mayor Grant Smith said.
The strategy proposes a balanced approach to growing Palmerston North, which includes increasing density in some areas within the city and some greenfield expansion around the edges.
The plan for accommodating growth within the city includes introducing a new medium residential zone in some areas, along with infill housing such as granny flats or subdivision of existing properties.
Greenfield expansion for homes includes plans to rezone land in Aokautere and Kākātangiata on the western edge of the city towards Longburn to meet demand over the next 30 years.