Central Otago mayor Tim Cadogan said the situation in Alexandra was similar to that in Cromwell when Chorus replaced slower, limited-bandwidth copper lines with high-speed fibreoptic broadband cables.
"It’s not unexpected, I can recall the number of ‘no vacancy’ signs in Cromwell."
Chorus partner contractors working in Alexandra include Downer, Broadspectrum, and Visionstream and their company vehicles dominate motel car parks across town.
Mr Cadogan said he was also aware of the demands on the rental market.
"Some rentals accommodation has been taken up but I don’t see how these contractors have any other option to house all their guys while they work here."
The short-term economic benefits of having a large workforce based in Alexandra had "beneficial consequences", he said.
"They are working, eating, sleeping, playing here."
He said the accommodation and particularly rental situation would ease when the work was completed.
Long-term businesses and residents stood to benefit, he said.
"Ultimately the benefits for Alexandra and soon Clyde are huge, we will have internet on par with the best in the world. It’s very exciting."
Chorus external communications manager Holly Cushen said work began in April 2019.
Chorus was halfway through the infrastructure build in Alexandra and planned for it to be completed by July, she said.
According to Chorus, about 580,000 homes in New Zealand are already connected to fibre, another 1.15million are fibre-ready, and 80% of the fibre roll-out is completed.
New Zealand ranks 17th in the world as of this month with a broadband speed averaging 32.72Mbps but is expected to climb in the rankings as the roll-out progresses.
