A consented development parcel at the centre of Queenstown’s tourism precinct, positioned to capture strong demand for visitor accommodation and high-density living, has hit the market amid the government’s renewed commitment to accelerate international arrivals and tourism numbers beyond 2026.

Bayleys Queenstown’s Commercial manager, William Gubb, is marketing the 963sqm (more or less) landholding at 4-6 Hallenstein Street for sale by auction, scheduled at 11:00 am on Friday, 19th September 2025 (unless sold prior), alongside colleague Tommy Zhang.

The property comprises tandem freehold titles, located several minutes’ walk from the Queenstown Centre, lakefront, and primary retail and dining precinct. Surrounded by established hotels, motels and short-stay accommodation providers, Gubb says it represents one of the last remaining central sites with immediate development potential.

“Resource consent has recently been granted to construct a 29-room visitor accommodation facility on the site, providing purchasers with the ability to deliver a sought-after product into one of New Zealand’s highest-demand tourism markets.

“This comes at the same time the government has affirmed its commitment to increasing visitor levels with new funding tasked at promoting New Zealand as a destination to core international markets.”

The sites’ High Density Residential zoning allows further flexibility, enabling alternative uses such as multi-level residential development in line with Queenstown Lakes District Council's intensification strategy.

“It is a unique opportunity for developers and land bankers to secure a strategically located, consented site in New Zealand’s premier tourism destination.”

Gubb says Queenstown has seen significant public and private investment in recent years, from upgraded transport connections to expanded hospitality and tourism infrastructure.

“With renewed emphasis from central government on tourism rejuvenation and strong long-term growth forecasts, the fundamentals for accommodation development are strengthening.”

The property currently generates holding income of $61,100 per annum from a residential tenancy, with fixed tenure until February 2026.

Bayleys Commercial, Development and Investment Sales specialist Tommy Zhang says holding income provides purchasers with short-term flexibility as they consider development pathways, while offsetting early-stage holding costs.

Situated on Hallenstein Street, the property benefits from convenient access to Frankton Road, the arterial route linking the township with Queenstown Airport and the wider region.

“It’s flat, regular-shaped landholding makes it a development-friendly platform, while its position within walking distance of retail, dining, entertainment, and transport hubs ensures year-round visibility and occupancy potential.

“Neighbouring sites in this tightly held precinct have already been redeveloped to higher-density uses, reinforcing the scarcity of available opportunities in Queenstown’s central core.

“Queenstown continues to be a market defined by constrained supply and robust demand.

“In this instance, the combination of a consented accommodation scheme, flexible zoning, and a premier location surrounded by proven operators underpins the long-term value of the asset. Whether as a pure development play, or as a holding strategy with income, it is a compelling offering in New Zealand’s primary international visitor destination.”

Queenstown attracts more than three million domestic and international visitors annually. Population growth in the district has been among the fastest in the country, supporting strong demand not only for short-stay accommodation but also high-density residential supply.