The village is the culmination of a 15-year dream by Wanaka residents Peter and Dee Gordon to found a village where they and their friends could retire.
There are now four couples living in the village and another three will move in soon, when their homes are completed.
Six of the couples are Wanaka residents and one couple has recently moved from Dunedin.
Of the 12 homes in stage one, 10 have been sold.
Plans for stage two will be released later this year.
Eventually, the village will have 110 villas, 47 apartments and a 65-bed hospital-care facility.
The two and three-bedroom houses range in price from $395,000 to $600,000-plus.
More than 600 people have visited the show home since it opened last year.
Cr Wilson said the village had "a high-quality and engaging environment", which had been "long awaited".
The Gordon family's investment was highly appreciated, he said.
Mr and Mrs Gordon said they were thrilled to see their dream become a reality and it was better than they had ever imagined.
The residents and their friends enjoyed a morning tea at the end of the short ceremony.
