The small town of Kakanui lies on the coast of Otago, in New Zealand, fourteen kilometres to the south of Oamaru. The Kakanui River and its estuary divide the township in two. The part of the settlement south of the river, also known as Kakanui South, formerly "Campbells Bay", was developed as a collection of cribs (holiday homes). A recent increase in the development of subdivisions have increased the density of dwellings within South Kakanui.