The Dunedin Community Childcare Association will officially open its new Ako Early Learning Centre later this month, after renovating the former Te Uki Tamariki Ou Cook Islands facility last year.
Director Jo Ellis said with only a kindergarten in the suburb, the centre would help "meet the demands of child care in the area".
Its Middleton Rd site did not have good outdoor access, which made it difficult for children to play freely, and for teachers to monitor them, she said.
The association bought the Lockerbie St centre in July 2008 and completed an extension and renovations late last year.
It was licensed for 30 children, an increase from 25.
The only work left to do was develop the outdoor area, a task in which the children would be involved.