In November, Bullendale Development Ltd applied to the Queenstown Lakes District Council to extend its 88-unit SHA development at Arthurs Point.
Developers Shane Fairmaid and Buzz March want to develop a further 92 units on about 4.12ha of land owned by Frank Tomasi and family, immediately west of its existing site on Arthurs Point Rd.
The proposal was supported in principle at the December council meeting.
In a report to tomorrow's full council meeting council senior planner Anita Vanstone said a draft deed had since been negotiated and agreed, in principle, by the developer, subject to agreement and refinement by the council.
The deed would be discussed in the public excluded session of tomorrow's meeting, but aspects of it were canvassed in Ms Vanstone's report, including the affordable housing contribution.
Her report said 10% of the developable area was to be provided to the Queenstown Lakes Community Housing Trust, capable of housing "at least nine residential units" and be supplied to the trust within a set timeframe from the start of on-site work.
Residential visitor accommodation would be permitted in line with requirements of the proposed district plan, meaning homeowners could rent their properties for a cumulative total of 28 days per 12-month period for up to three lets.
However, commercial visitor accommodation was not permitted, the report said.
The developers propose a total of 39 houses and 53 apartments.
Bullendale also proposed a total of 184 car parks, equating to two per dwelling, but it was not clear if that was allocated evenly to each dwelling, Ms Vanstone's report said.
Following the council's December meeting, the applicant had submitted further information regarding effects on the one-lane Edith Cavell Bridge and a proposed pedestrian crossing across Arthurs Point Rd, outside the new development area.
A consultant traffic engineer concluded the proposed development would increase traffic demand at the bridge, but the effect was "not significant" and was within existing daily and seasonal variations.
The proposed pedestrian crossing was "acceptable" with respect to safety, but further detailed assessment would be provided as part of the resource consent application.
If accepted by the council, the development would be recommended to Housing Minister Phil Twyford for approval.
In November, Bullendale began marketing the third stage of the initial development, The Alpine Terraces, comprising 34 terraced-style homes, priced from $650,000.
The 27 stage one and two townhouses, primarily purchased by first-home buyers, sold out - stage two homes were priced from $609,000.
