Powerhouse Funicular Railways Queenstown Development

Project summary

Two funicular railways with their combined lower station located in a planned new retail, hospitality and conferencing precinct by Lake Wakatipu.

• A development (labelled as the 'Powerhouse precinct') within One Mile Recreation Reserve to provide retail, hospitality, and tourism offerings, a 1,500-person conference facility, and an associated carpark building. 

• A high-density residential suburb of approximately 1,040 housing units for 2,000+ residents, and an associated subdivision. 

• Two funicular railways (including stations) connecting the Powerhouse precinct to the new residential suburb, and the Powerhouse precinct to the Ben Lomond-Te-Taumata-o-Haketikura Saddle. 

• A seasonal ski field and mountain bike park on Bowen Peak, serviced by a six-seater chairlift, and a top station building associated with the ski field containing a bar/restaurant, retail, and guest services. 

• Predator-free fencing covering a 3-hectare area within One Mile Recreation Reserve and a 180-hectare predator-free sanctuary near the top of One Mile Creek valley, construction of a boardwalk and walking trail along One Mile Creek stream, and wilding pine removal and native planting within One Mile Recreation Reserve. 

Project location

The project area comprises several sites within the Fernhill, Lake Esplanade, and Ben Lomond area of Queenstown. The project involves both private and public land. Refer to Attachment 5 for a summary of the titles and relevant instruments.

Project referral

First referral application returned

A project referral application was lodged on 10 February 2025. The application was returned to the applicant on 24 February 2025 as incomplete/non-compliant with the requirements of the Fast-track Approvals Act 2024.

Decision on compliance under s14(2) of the Fast-track Approvals Act 2024 (PDF, 177KB)

Second referral application declined

A second project referral application was lodged on 28 February 2025. 

The Minister for Infrastructure declined to refer the project to the Fast-track on 24 August 2025.

Stage 2 Notice of Decisions Letter (PDF, 178KB)

If a project is not referred, the applicant can apply for referral again. This is considered a new application, subject to fees and charges.

Referral application to use the Fast-track