A Queenstown Lakes District Council planner recommends a planned retirement village in Arrowtown be put forward as a special housing area (SHA).
Tomorrow, councillors will discuss proposed SHAs at Onslow Rd, Arthurs Point, Shotover Country and Arrowtown.
An expression of interest for the latter, a 130 to 175 unit retirement village and an aged-care facility, mooted by the Anderson/Armstrong families and the Monk family, was received by the council on November 2.
In his report to the council, district plan manager Matthew Paetz recommended the council support in principle recommending the retirement village, planned for about 20ha of land on McDonnell Rd, to Building and Housing Minister Nick Smith, subject to further consideration.
That included requiring the developers to gain confirmation from the Otago Regional Council the proposal was supported by it in principle.
Mr Paetz said recommending the development as an SHA would help ''contribute meaningfully'' to the council's responsibilities under the Queenstown housing accord and provide a platform for a different housing option in the Wakatipu Basin.
If successful, it would generate a ''significant number'' of social and economic benefits, enable new housing to be constructed and free up some of the existing housing supply in Arrowtown.
However, it was ''considered generally inconsistent with the operative and proposed district plans'', because of its urban characteristics outside the village's urban growth boundary.
Mr Paetz said if the council did not recommend it as an SHA it would help preserve district plan integrity - but it would also adversely impact on the council's ability to meet its commitments under the Housing Accord and forgo the opportunity of providing a significant new housing option in the Wakatipu.
''Anecdotal evidence suggests that some ageing residents need to leave the district to access suitable retirement housing, and this has a dislocating social impact,'' he said in the report.
''In the short term there would be significant employment generation for design professionals, suppliers and the construction sector, whilst in terms of longer term benefits the proposal would generate permanent employment.
''The proposal would also add to the health service offering of the district.''
Subject to councillors' approval tomorrow, a further report would come to the council before the proposal was recommended to Dr Smith.
