Discussions about leasing land are the next step for a multimillion-dollar development project in Alexandra.
A development project including a replica miners' village and riverside park has been proposed for lower Tarbert St.
Alexandra businessman Rory McLellan has been working on the project since 2011 with the intention of rejuvenating the Tarbert St area.
The project is expected to cost about $3.4million.
The Vincent Community Board accepted a proposal at Wednesday's community board meeting in Alexandra for the council to explore the prospect of leasing land off Land and Information New Zealand (Linz) and subleasing it to the Alexandra Miners Village and Riverside Park Trust.
Talks would be held with other landowners in the area, such as the Otago Regional Council and Contact Energy.
The development would become a multipurpose community and tourism hub and include a water tank feature with a viewing platform and children's slide.
A report from council economic development manager Rebecca McElrea says "in terms of lease discussions, [council] staff have spoken with Linz and ORC and will continue discussions".
No date has been set for construction of the park.
