BayTrust deputy chairwoman and Rotorua-based trustee Stephanie Northey said it was wonderful to see Rotorua receive most of the funding this year.
"It's a tremendous boost for our local economy and recognises the fantastic work that organisations are doing here in Rotorua.
"The quality and size of our community facilities does have a direct impact on what non-profit organisations can achieve. So local residents are the real winners and will benefit hugely from these upgrades for many years to come."
Plunket's Viv Edwards said the grant would cover about a quarter of the cost of Plunket's new building in Pukuatua St, with the site to be cleared and construction due to start in mid-2022.
"We are over the moon with the grant from BayTrust to contribute towards the new Rotorua clinics and community rooms.
"Our current Rotorua pēpi, tamariki and whānau deserve a future-proofed, culturally appropriate venue and we need to plan for the expected increase in new babies over the coming years.
"To be able to create a new, larger building to give a 200 per cent increase in Whānau Āwhina Plunket's clinical activity is wonderful and exciting," Edwards said.
"We will also be able to develop our community services and parent education so that whānau feel supported, less isolated and know where to come for help. We are looking to start the build in July-August next year, so this grant gets us three-quarters of the way there."
Plunket intends to make the new facility available for other community groups in Rotorua in the evenings and weekends to host meetings, club nights and other events.
Meanwhile, the $450,000 multi-year funding grant for Rotorua Museum will go towards redeveloping its exhibition spaces and the addition of a 48sq m Discovery Space for children.
Rotorua Lakes Council arts and culture manager Stewart Brown said the exhibitions would provide a place to display taonga and authentically reflect local and regional stories.
"We are delighted to receive this generous funding from BayTrust which will go towards the creation of innovative and world-class exhibitions inside this grade-one listed heritage building."
He said design work for the exhibition space would start next year with Rotorua Museum due to reopen in 2025.
Other Bay of Plenty projects to receive funding this year include Kutaroa Marae Reserve Charitable Trust ($250,000 towards their new marae building on Matakana Island), Whare Manaakitia Trust ($300,000 towards a new Merivale Community centre), and Pukehina Surf Rescue Lifeguard Services ($250,000 for a clubroom rebuild).