Minister for Infrastructure Chris Bishop has referred Kurt Gibbons’ application for the huge subdivision and a commercial precinct on the late Alan Hamilton’s Morven Ferry Rd farm at Queenstown’s Arrow Junction.
After Mr Bishop knocked back the developer’s plan in June as "incomplete/non-compliant", he now says Ridgeburn, as the subdivision is called, will address housing supply and deliver significant economic benefits.
Still, Mr Gibbons was told his "substantive" application would need to provide a traffic infrastructure assessment and identify how Three Waters issues would be handled.
He said he was looking at building a wastewater treatment plant for about $50 million not just for Ridgeburn but all the on-line capacity north of the Shotover Bridge, including Arrowtown, Lake Hayes and the planned Ladies Mile community.
However, he was still facing pushback, he said.
Morven Ferry Rd resident Hanna Pettit said the subdivision did not suit the location.
"It seems they know that so they’re using the fast-track process to kind of work around the obvious issues with it."
She was also concerned the lack of a nearby bus stop meant residents would have to drive on an already congested SH6.
The Queenstown Lakes District Council, Otago Regional Council and NZ Transport Agency Waka Kotahi all raised major concerns about the project, but did not oppose it.
The QLDC said the project was not located in a future growth area and was within and next to an outstanding natural feature.
The applicant wanted to connect his private Three Waters solution to the council’s infrastructure, but the council did not have any nearby, nor any planned, the council said.
While the council acknowledged it was "commendable" the applicant was seeking to provide more housing, "it is inappropriate in the proposed location and the adverse impacts may outweigh the benefits".
It also noted another local fast-track project, Homestead Bay, which comprised 2500 houses and a commercial area, was progressing and, if successful, demand for housing and commercial space "may need to be re-evaluated".
The ORC said there were no plans for public transport services east of Arrowtown-Lake Hayes Rd.
"Residents would be reliant on private vehicle use, which would have adverse effects on the Wakatipu Basin’s congestion and greenhouse gas emissions."
It was also concerned about groundwater quality.
NZTA said the project could require upgrades to the Morven Ferry Rd and Arrow Junction Rd intersections, which would be dependent on acquiring land, "which may affect project delivery".
Mr Gibbons said he was "very happy" his project had moved on to the next stage of the fast-track process, and he hoped to start development work mid-next year.
After a project is referred to the fast-track, the applicant can make a substantive application.
A panel then decides whether to approve the project and impose conditions.
