The water here is said to be peaceful. The name Otūmoetai is claimed to translate to "Peaceful Waters" from Māori to English, because the Matua Saltmarsh and Tauranga Harbour border this area. The New Zealand Ministry for Culture and Heritage gives a translation of "place where the tide stands still as if asleep."
Before the 1950s, this area was mostly orchards and farms. Then houses started to be built in Brookfield, Otūmoetai Central, and Pillans Point. The suburb began to take shape, and by the 1990s, the last pieces of land here were developed into housing. In the 21st century, there’s been more intensification with apartments being built.
There used to be a flag station here on the East Coast Main Trunk railway line from December 1917 until September 15, 1974. New Zealand Railways took it over from the Public Works Department in June 1928. The station had a shelter shed, a cart approach, a goods shed that was 30 feet by 20 feet, cattle and sheep yards, and a loading bank.
In October 1940, a ballast train ran into a passenger train here. One passenger had a cut thumb, and some wagons were derailed. A note from 1920 mentioned a station yard and accommodation, but many builders were dismissed in 1921 to save money. So it wasn't until 1924 that tenders were invited, and 1925 when the Waikareao Estuary was bridged, connecting Otūmoetai to Tauranga.
In 1925, the Otūmoetai Station yard was excavated by steam shovel, and the material was used to reclaim an area behind Tauranga Wharf. North of the line, stockyards, loading and unloading races, and a grazing area were formed. A 17-wagon siding, parallel to the main line, allowed stock to be loaded. By late November 1928, a shelter shed was built about 150 meters from the Otūmoetai Road bridge. The timetable varied, but it only took a few minutes for trains to reach Tauranga.
In 1944, coal shortages reduced service to three days a week, and by December 1951, due to staff shortages, it was down to twice a week. A siding and loading bank were added in 1945, and the stockyards were improved. Floodlighting was requested because stock often arrived as late as midnight. By 1945, loading and unloading livestock was moved from Tauranga to Otūmoetai.
By the end of March 1973, no livestock had been moved in or out of Otūmoetai in the previous 12 months, after deregulation allowed long-distance road transport. By July 1, 1974, the yards had been sold and removed. In November, the shelter shed was sold to the Tauranga Historic Village Museum, but it was replaced with a replica because of its poor condition. From 1959 to 1967, railcars ran between Te Puke and Auckland.