A new 1.3km cycleway-walkway through Dunedin's West Harbour area will open early next month.
New Zealand Transport Agency (NZTA) regional project manager Simon Underwood said work on the $350,000 project to extend an existing cycle and walkway from Ravensbourne to Jessie St, Maia, would be completed in early October.
Work began in May, but contractors suspended work over winter.
A time-frame for the next stage of development would be decided once agency planners had investigated the best route for the cycleway from Maia towards Port Chalmers, he said.
Options being investigated included continuing the lane-way beside the railway tracks, using local roads, or incorporating the sections with SH88, or a combination of these options.
The agency - formerly Transit New Zealand - was anticipating a "major increase" in cycleway usage.
"We did an informal survey on a Saturday soon after the existing section opened and usage was in the low hundreds."
A survey conducted in November 2007, on the Ravensbourne to Maia section showed up to 500 cyclists and walkers used the lane each day.
Previous reports indicated building a further 8.4km of track from Ravensbourne to Port Chalmers would cost more than $3 million.
From October, the cycle and walkway will begin at Magnet St, Dunedin, near Otago Yacht Club facilities, and will terminate at Jessie St, Maia.
Access points near Alderley Tce and Athol St, Ravensbourne would be sign-posted.
The first 1.2km section of cycleway was completed in 2006, at a cost of $220,000.
Funding for the Ravensbourne section from Magnet St to Ravensbourne came from various organisations, including the Otago Regional Council, the Dunedin City Council, Port Otago and NZTA.
The Ravensbourne to Maia cycleway was funded from a national pool dedicated to alternative transport.
