The Sanderson Group plans to develop more than 300 houses on a 51ha greenfield site on the eastern approach to the resort at a cost of more than $250 million.
Announced in March, the Queenstown Country Club is the seventh special housing area (SHA) proposal to receive Government approval.
On two interlinked sites between State Highway 6 and the Kawarau River, it will consist of independent villas, serviced apartments, staff accommodation units and a 72-bed rest-home care facility.
Building and Housing Minister Nick Smith said the development of retirement units did not directly help first-home buyers, but would free up "hundreds'' of homes as older people moved into more suitable housing.
Twenty percent of the homes would have to be at least 10% below Queenstown's average house price.
"These will make a substantial contribution to this high-growth district's housing shortage,'' Dr Smith said.
Sanderson Group chairman Fraser Sanderson, of Tauranga, expects to apply for resource consent in about two months.
The Tauranga businessman said his project team, which included architects Boffa Miskell and planning consultants John Edmonds & Associates, would prepare a "robust'' application and he did not expect the council to order significant changes.
A start to construction would depend on the length of the Queenstown Lakes District Council's consent and hearings processes, but he hoped it would be early next year.
"In a perfect world, we'll be breaking ground in the summer and starting construction early in the new year.''
The company had already received about 200 expressions of interest from potential buyers.
It had also reached agreement with the Queenstown Lakes Community Housing Trust to provide land for community and affordable housing.
"They were clear about what their mandate was and what they wanted, and we were able to come up with a workable solution.''
Community Housing Trust executive officer Julie Scott said the trust would receive up to 15 titled sections in the development.
It had yet to decide what to build on the sites, but it was likely to be a mix of its shared ownership, affordable rental and senior housing programmes, Ms Scott said.
Plans for the Queenstown Country Club include a clubhouse with a restaurant, cafe, cinema, bowling green and croquet lawn, and a health spa with an indoor heated lap pool.
It would be developed in several stages over five years, and employ about 120 staff when completed.
The seven SHAs approved by the Government in Queenstown will yield nearly 1000 new homes.
Four got approval from Dr Smith a fortnight ago, including a retirement complex in Arrowtown proposing 175 villas and a 100-bed aged care facility.
