New racing hub unlocks housing potential
Published: 23 January, 2026
A racecourse in the Hawke’s Bay will be transformed to help free up prime land for houses in Hastings, with a loan from the Regional Infrastructure Fund (RIF).
The RIF is contributing a $20 million loan to the $77 million project, with $57 million of co-funding provided by Hawke’s Bay Racing Incorporated and New Zealand Thoroughbred Racing Incorporated.
The project enables the existing racecourse site to be freed up for more than 600 new houses.
The project will also retain the racecourse which is a valuable racing industry asset that has contributed to the local economy for over 150 years.
The racecourse has been closed for racing since 2024 due to track safety concerns.
The new venue will be a state-of-the-art hub for racing, equestrian sport and community events. Its modern racetrack will be capable of accommodating up to double the race meetings held previously.
The new site will also serve as a civil defence centre in the event of a natural disaster, providing a safe and resilient space for the adjacent Flaxmere community.
The project will create more than 400 full-time construction jobs during its four-year development phase and, once completed, the racecourse is expected to sustain around 270 jobs across the local racing industry.
Up until the closure of the track in 2024, the Thoroughbred racing industry contributed $37 million of Gross Domestic Product (GDP) annually to the Hawke’s Bay and Gisborne economy.