More than 2000 new houses may soon be built in Queenstown as the local council today voted on two plans to increase housing development in the area.

Photo: RNZ / Peter Newport

The Queenstown Lakes District Council (QLDC) unanimously voted in support of the recommendations of the Mayoral Housing Affordability Taskforce, which has set the goal of housing the area's workforce in affordable homes by 2048.

The council also set themselves the target of building 1000 community homes by 2028.

The homes will be affordable and the land will remain the property of the district's ratepayers.

It is one of a tranche of measures approved today by councillors to combat escalating unaffordability of homes in the popular tourist destination.

The average house price in Queenstown hit $1 million last year.

Councillor Ross McRobie said he understood 92 percent more homes would be needed in the district by 2045, and the council needed to act urgently.

Councillors were strongly supportive of the taskforce's recommendations, which also included a number of reviews with the aim of opening up further development opportunities for affordable homes in the area.

Councillor Scott Stevens said he lauded the work of the taskforce but now action was needed to back up its work.

"It's a great idea, but there's no good in just sitting on a report. We need to implement it," he said.

Mayor Jim Boult said the taskforce had presented a lot of opportunities for the district, "now is the time to turn it into reality".

In addition, the council has also voted to add Ladies Mile, between the Shotover River and Lake Hayes, to the district's special housing area accord.

More than 2000 homes can potentially be built in the area with infrastructure for 1100 at present.