"As it grows, Queenstown is facing challenges with housing supply. The average house price is the highest in the country at over a million dollars,'' Ms Adams said.
''While demand is high, businesses are struggling to attract and retain staff, which is affecting the local economy."
She said increasing the land available for housing would help rebalance the market, and the the Government was focused on bringing more surplus Crown land into the market.
"We want to explore vacant or underutilised Crown land within walking distance to Queenstown's town centre that can be developed into social, affordable and market housing."
She said the Government was exploring vacant Crown sites around Queenstown, and MBIE officials were working with the Ministry of Education in respect to potentially acquiring the old Wakatipu High School site.
A Memorandum of Understanding was also signed today between the Crown and Ngai Tahu Property to explore options to develop vacant or under-utilised parcels of Crown land in Queenstown for housing developments.
"Both the Government and Ngai Tahu Property have strong interests in creating quality housing to build stronger communities and ensuring new developments reflect local needs," Ms Adams said.
"Before any Crown land in Queenstown can be sold for housing, it is subject to a right of first refusal in favour of Ngai Tahu under the Ngai Tahu Claims Settlement Act 1998. It therefore makes sense for us to partner with them early in the process."
What is the Crown Land Programme?
The programme casts an eye over land that had been previously set aside for future public facilities, such as roads or schools, to see if it can be used for housing.
