The Kaikorai Stream is a short river which runs through Otago, in New Zealand's South Island. The entirety of its length is within the city of Dunedin.
The stream's headwaters are close to the city's main reservoir at Mount Grand, immediately above Fraser's Gully. The stream flows southeast through Fraser's Gully, a popular recreation reserve clad in native bush, during which part of its course it is known as Fraser's Stream. In the suburb of Kaikorai it turns southwest, flowing from here down the wide Kaikorai Valley through the suburbs of Bradford and Kenmure before turning west and flowing through Burnside and Green Island.
Below Green Island, the stream again resumes a southwestward course, reaching the Pacific Ocean at Waldronville, where its outflow is a lagoon, the Kaikorai Lagoon. The lagoon is part of a research project aimed at establishing a national estuarine monitoring protocol.It is inhabited by black swans, and spoonbills are also sometimes observed.
Though only a short stream some 18 kilometres (11 mi) in length, it has been important to the industrial history of Dunedin. Many local industries have used power from the stream, most notably the Roslyn Woollen Mills in Kaikorai.