The government announced on 16 March 2018 that the airport required a new terminal to meet demand; it was one of the fastest-growing regional airports in the country handling a record 110,000 passengers in the 2017/2018 financial year. The existing terminal was not fit for purpose and did not meet Air New Zealand's requirements, while growth in passenger numbers also put pressure on the existing facilities. The new $4.75 million terminal opened on 16 June 2019 with improved arrivals and departures, baggage screening and luggage collection facilities. $1.75 million of the funding came from the government’s annual $1 billion provincial growth fund, announced by the Regional economic development minister Shane Jones.