The Ayrburn Screen Hub, presently going through the fast-track consenting process, has received early support from Tourism Minister Louise Upston, Infrastructure Minister Chris Bishop and Minister for the South Island James Meager.
It proposes construction and operation of a film and television production facility, including studios, more than 200 worker accommodation units, and supporting facilities and amenities.
The site for the proposed facility between Arrowtown and Lake Hayes has been described by its developer, Chris Meehan, as "the best part of the most expensive street" in New Zealand.
But the owners of neighbouring properties fear the development will disturb the "quiet and tranquility" that made the area so sought after and have made their feelings clear to the fast-track panel.
Many of the directly neighbouring properties on Speargrass Flat Rd are estimated to be worth more than $5 million. At least a dozen of the homeowners are objecting the proposal.
David Kidd noted his home, close to the proposed development, had been and continues to be "a very happy family home enjoyed by our family and friends for its special qualities, not least its semi-rural location and relative peace, quiet and tranquility".
He mentioned in May 2025 he contracted builders to carry out substantial refurbishment and additions — at a cost of more than $1.5m — in the assumption there could only be, in the longer term, very low-density residential development on the Ayrburn land, "which would not disturb the peace, quiet and tranquility".
His 100-page submission also objected to the scale of the operation, and doubted the commercial viability of it.
"In any event, there is little or no credible evidence that the 241 bed, 201 unit accommodation facility with gym and spa is a necessary part of the proposal, either because it is a necessary part of the regional benefit alongside the film production facilities, or because it is a generator of revenue which is needed to subsidise a film production business which has dubious profitability."
Among the other objections from nearby property owners include claims that the adverse effects would be "disproportionate" to the touted benefits, the size of the accommodation complex and the fact it would be an "industrial and commercial operation" in an area that does not support such activity.
Neighbour Neil Green described the proposal as a "Trojan horse", saying it "appears to be a tactical manoeuvre to bypass the district plan" and secure a high-density accommodation in a rural zone, using a film studio as the vehicle.
Paul Dougherty, who bought a neighbouring property in April 2021, said the proposal would lead to the "destruction of local amenity and lifestyle values" of the area.
Property owners Hal and Jane Shaw said "Ayrburn’s relentless push for more intensive activity and ‘consent creep’ ... is unfairly eroding our amenity and way of life".
Geoff van Deursen, who lives near the planned project, submitted that the proposal was "fundamentally incompatible" with the Wakatipu Basin area and was concerned about the ongoing operational noise from the precinct.
"The neighbourhood has already endured a prolonged period of construction disruption, going back before Covid ... We are very concerned this application will sentence us to another 36 months of disruption, creating for some neighbours a near-decade of intolerable construction effects."
He also felt the cumulative noise from the 201 accommodation units, the central facilities (gym, pool, lobby) and production and shooting times, would be unacceptable.
"This proposal is a 24/7 industrial activity in the wrong location."
James Headley submitted the developer’s plans were "grandiose"and "jarring and unpredictable" as a proposal.
"It is important to us that the expert panel acknowledge that the subject site has already been robustly examined in terms of its ability to absorb development.
"In all cases, intensive development on the subject site has been roundly and repeatedly rejected by not only the local community, but the council, independent decision makers and not least, the Environment Court."
Mr Meager’s submission said "my view is that the substantive application aligns with the government’s priorities for economic growth and I would like to note my support for the Ayrburn Screen Hub project to receive the substantive approvals it requires".
The construction would support an estimated 1890 fulltime equivalent (FTE) jobs over the build period, and once operational, it would support about 370 FTE jobs a year, with over 130 of these jobs located on site, he submitted.
Ms Upston’s submission said this was an opportunity to "diversify" tourism in the Queenstown region, particularly noting that film industry representatives view the proposed hub as "critical national infrastructure" that could attract more productions.
Queenstown Lakes District Council has reviewed the Ayrburn Screen Hub application, and raised issues about the suitable provision of potable water, and the certainty and timing of required transport upgrades.
It also noted the proposal was considered "inconsistent" with the intended rural open character and spatial logic for the surrounding area as zoned.
