DESCRIPTION:
From the late nineteenth century railways became increasingly important for transport and communication in New Zealand. The itinerant nature of railway work meant that readily available low cost housing was a recurring problem. Following World War 1 the housing problem escalated and while the Railways Department had provided some accommodation before 1919, it was from then that the need to provide housing close to railway stations, both rural and urban, throughout New Zealand became apparent. Under Minister of Railways William Fergusson Massey the Department decided to enter into a large scale housing scheme which would provide accommodation for all permanent members of its staff.

Headed by George Troup the Architectural Branch of the Railways Department was established late in 1919 to design and supervise the construction of what became known as "railway houses".

Frankton Junction was chosen as the site for the House Factory in which houses were to be pre-cut and as one of ten major North Island settlements planned, surveyed and laid out by 1922. It became the biggest and most complete of the Railways Department settlements comprising some 160 pre-factory, factory-cut, post-factory and state houses.

An integral part of the Frankton Junction settlement was the inclusion of recreational buildings including the Institute which was to cater for the "social, mental and health needs" of the railway families. It was probably pre-cut at the house factory and built voluntarily by railway employees including the staff of the Mill and House Factory who were responsible for most of the construction and the locomotive and railway men who did the unskilled work.

From 1925 to 1988 the Institute was the headquarters of the Frankton Railway Sports Association, the parent body of five clubs including the bowling, football, croquet, cricket and tennis clubs. It was sold to the Frankton Junction Bowling Club Association Incorporated in 1989. In August that year a demolition permit was issued and the building was partly demolished. It was saved by a protest campaign and the intervention of the New Zealand Historic Places Trust, Hamilton City Council and Department of Conservation by providing money for its relocation. On 31 October 1989 the Institute was relocated on its present site. Restoration was undertaken by the Frankton Junction Railways Institute Hall Society Incorporated.