Although SIT has been providing courses in the resort in rented accommodation since the 1980s, the zero fees tertiary provider is ready to establish a campus at Remarkables Park, Frankton.
The SIT council has approved the expansion, which it sees as "timely to meet the growing needs of Queenstown residents".
Courses available at the new campus will encompass business, hospitality, tourism and computing - all of which will be offered under the zero fees scheme.
"We are delighted to be bringing a wider range of tertiary study to Queenstown," CEO Penny Simmonds said.
She referred to award-winning graduate Daniel Reynolds, who gained his Certificate in Hospitality at the Invercargill campus and then found employment at the Remarkables Lodge in Queenstown.
At only 18, Daniel won gold in the kitchen at the prestigious Nestlé Toque d'Or (Golden Hat) competition.
"Our aim is to keep providing the industry with graduates the of calibre of Daniel, and this new campus is another plank in that plan," Ms Simmonds said.
She said SIT was grateful for the support it has received over the years from the facilities supplied by Wakatipu High School, but both SIT and Wakatipu High School were facing increased space pressure as the rolls grew.
Queenstown's tourist based industry meant there was plenty of demand for more training services in the area.
"The time is right for us to establish our own space," Ms Simmonds said.
"The number of international students coming to SIT has increased by 42 % this year and Queenstown is an incredibly attractive place for students to learn.
"It's a wonderful way to experience New Zealand."
The new campus will also be more accessible to local residents with plenty of good parking - which is at a premium in Queenstown.
The campus is scheduled to open in mid-February next year.
