The Blackcaps have made early inroads into Sri Lanka's top order to end day three of the first test in complete control at the Basin Reserve in Wellington.
Having scored 578 all out in their first turn at bat, Tim Southee and Trent Boult made easy work of the tourists top three to leave Sri Lanka 20/3 at stumps, still 276 runs behind the Kiwis.
Boult removed Danushka Gunathilaka in the fourth over before Southee struck twice in three-balls claiming the wickets of Dhananjaya de Silva and Dimuth Karunaratne to leave Sri Lanka in peril.
Angelo Matthews and Kusal Mendis cautiously played out the final 15-minutes, preventing any further damage.
Earlier Tom Latham has become just the second New Zealander to carry his bat through a test innings.
The left-hand opening batsman was left unbeaten on 264 as the Blackcaps complied mammoth first innings of 578 all out in reply to the tourists 282.
Latham's double-hundred represents the sixth highest individual test score by a New Zealander behind only Brendon McCullum, Martin Crowe, Ross Taylor, Stephen Fleming and Bryan Young.
New Zealand came back from tea at 509/6 with Latham and Tim Southee at the crease.
Southee fell quickly as did Neil Wagner before Ajaz Patel and Trent Boult provided some valuable time to Latham to allow him to climb up the record books.
Sri Lanka finds themselves 296 runs behind the Blackcaps, facing an uphill battle just to make New Zealand bat again.
In another piece of history, Latham now holds the record for the highest test score by any batsmen to carry his bat.
Earlier on Monday Latham and his fellow Cantabrian Henry Nicholls resumed after lunch at 403/3, with Nicholls bringing up his eighth test half century a short time later.
But Nicholls was dismissed without adding to 50, caught at deep mid-on by Kasun Rajitha off the bowling of spin bowler Dilruwan Perera breaking a third-wicket stand of 114.
BJ Watling came and went quickly, dismissed for a six-ball duck by impressive pace bowler Lahiru Kumara. Watling ducked a short ball but the ball clipped his bat and was easily snapped up by wicket-keeper Niroshan Dickwella.
Colin de Grandhomme hit three fours and three sixes in a 53-ball 49 before he was caught in the deep by Rajitha off part-time spin bowler Dhananjaya de Silva just before the Tea break.
In between all of that Latham stood tall, bringing up his first test match double-hundred in the process.
Veteran Ross Taylor failed to survive the opening over, trying to flick the fourth ball from Kumara off his legs and finding Dimuth Karunaratne under the helmet at short leg for a spectacular reflex catch, without adding to his overnight score of 50.
Taylor brought up his 29th test half-century just before stumps on Sunday.
The wicket ushered Nicholls to the crease, hoping to build on his century in the test victory against Pakistan earlier this month.
After a lean trot in the UAE, Latham looked in superb touch, bringing up triple figures in 219 balls, with eight boundaries.
Latham and skipper Kane Williamson (91) combined for a second-wicket partnership of 162 runs to put the Blackcaps in a commanding position.