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The Queenstown Lakes District Council announced last October it planned to redevelop the prime lakefront camping ground, at Yewlett Cres, to create about 200 tent, camper van and caravan sites as part of its "responsible camping strategy".
Subsequently, more than 100 permanent and temporary residents were given notice they would need to find new accommodation and have their cabins removed from the site by April 30 next year.
The camp is to close on February 1 and would become a construction zone from May 1.
Yesterday the council released its request for proposal for the new 20-year commercial lease, to begin on May 1, 2020.
Chief executive Mike Theelen said the successful applicant would play a key role in the redevelopment of the site to a "camping-only facility".
"This commercial lease brings the opportunity to revitalise the site and provide much-needed camping space for holiday makers to our district.
"We expect this will be an attractive opportunity for potential lessees based on its prime lakefront location."
Council community services general manager Thunes Cloete said the "transition phase" at the site would begin after the procurement process so the campground could reopen by November 2020.
"There are a number of tenants who currently live in a permanent and semi-permanent basis at the site, so we appreciate this transition to a camping-only site may be difficult for some.
"Because of this, we have been working closely with the current campground managers to communicate the changes and key dates."
A drop-in session to connect tenants with rental accommodation providers would be held in September, he said.
"Every transition has its challenges but the redeveloped campground will be a great asset, not only to Frankton and the wider Queenstown-Wakatipu community but also our domestic and international holidaymakers," Mr Theelen said.
The request for proposal will close at 4pm on September 16.