This bay, lying between Island Bay and Lyall Bay, was named after Robert Houghton. At the behest of the New Zealand Land Company and the traders/merchants of the new town of Wellington he established the first signal station, in 1841, on Mt Albert to report ship arrivals at Wellington Heads.

Robert Houghton was born in Kent, England, in 1794 and, at an early age, joined the Royal Navy. After his discharge he sailed on merchant ships, qualified as master and was in command of cross-channel ferries that plied between Kent and the Continent.

He was employed by the New Zealand Land Company early in 1839, supervising the fitting out of the Aurora for bringing immigrants to Wellington and was appointed assistant surgeon for the voyage. With the surgeon he was responsible for the well-being of the passengers and ensured that the owners and crew complied with their contractual obligations. His wife Lucy was appointed as the ship’s matron to take care of the women and children.

The Aurora sailed from Gravesend, London, on 18 September 1839 and anchored off Somes Island on 21 January 1840 after an uneventful passage of 126 days. The following day (commemorated by Wellington Anniversary Day), passengers and their belongings started landing on the beach at Petone (the proposed settlement of Britannia). After a short stay in Petone and then at Somes Island, installing defensive cannons, the Houghton family moved to the new settlement at Te Aro.

The signal station was erected at Mount Albert (590 ft) of the Te Ranga-a-Hiwi Ridge that extends from Point Jerningham, south to the coast between Island Bay and Lyall Bay. It had a clear view of the harbour entrance and was visible from the new township. As the town developed from the Thorndon area Robert’s wife Lucy repeated his signals from Flagstaff Hill above Lambton Quay.

In 1844 the government of the day gazetted his appointment as “Signalman & Keeper of the Powder Magazine”.