However, its developer says he is frustrated with the lengthy council consent process.
Brecon Street Partnership has been given approval for a hotel in Brecon St, near the Queenstown CBD, comprising 393 guest rooms in four buildings.
The complex will also contain 12 ground-floor commercial tenancies, mooted for land which presently has an outdoor mini golf course on it, beside the Queenstown cemetery.
Nine submissions on the plan were received, one against and eight in favour.
Because none of the submitters wished to be heard, a decision was made not to conduct a public hearing.
In a decision dated June 28, the proposal was granted land use consent, subject to a range of conditions.
Speaking to the Otago Daily Times from Brisbane last night, developer Graham Wilkinson said while he was pleased consent had been granted, he was ''extremely frustrated'' by the process.
He said the company approached the council two-and-a-half years ago to ask them to work alongside the company to come up with a design the council would support.
The company initially applied for consent last year for a larger development, which would have resulted in 468 rooms, but later reduced the size of the project after this initial plan was knocked back by the council.
In February, commissioner Jan Caunter decided the proposal should be publicly notified.
Mr Wilkinson said the ''myriad'' conditions laid out in the decision, including around traffic planning and noise, meant extensive analysis was needed before the company could determine its next step.
That included a decision on when construction could start.
