Kerikeri, Bay of Islands
Kerikeri is famous for it's fruits orchards, Arts and Crafts and of couse NZ's oldest Stone Store at the historic Kororipo Pa/Kerikeri Basin.
It is about half an hour drive from Watangi.
The lush & serene basin,have a number of easy bush walks such as to the majestic Rainbow Falls along Kerikeri River from the basin.
When I was there I also visited the Rainbow Falls and the Matakana Confectionary Shop when chocolate are hand-made.
Downtown Kerikeri have a nice downtown area and their is a number of nice cafes in the area . The prices however seem to be a more expensive than normal for the food you are getting. This is probably because you are paying tourist prices.
Another view of downtown.
For more info on Kerikeri this is a good link : http://www.kerikeriplan.co.nz/