A $13 million project to construct luxury accommodation along the Falls to Hotham Alpine Crossing trail will ruin its natural beauty, opponents have said.

A draft master plan released by Parks Victoria reveals that four accommodation complexes, featuring cabins and luxury camping sites, are set to be built along the 56 kilometre trail, known for its wildlife and cultural significance.

Guided walks, horseback riding and other tourist services would also be introduced.

Bushwalkers and campers would still be allowed to walk the trail for free but would be banned from setting up their own tents within 100 metres of the complexes.

Bushwalking Victoria's Peter Campbell said the development would ruin the landscape and experience.

"Our national parks are there for everyone to enjoy. Rules and regulations that discourage recreational walkers are inappropriate," he said.

"What's proposed up the Diamantina Spur is actually significant development. The placement of cabins up high would have a drastic negative impact on landscape values."

Development will be done 'sensitively': Parks Victoria

But Stuart Hughes from Parks Victoria said the development would cater for everyone.

"The Alpine National Park is a very special place, so we want to make sure how the facilities would be developed is done sensitively," he said.

Bushwalking Victoria is concerned the plans will restrict access to the trail. ( Supplied: Visit Victoria )

"The accommodation is just one part of that. It is really though just to provide accommodation out of the elements.

"Everyone else would still be able to use the track and be able to camp."

Mr Campbell said safety could be compromised if walkers are forced to continue through adverse winter weather to reach their accommodation.

"Permits will be required to use camp sites and to actually use the walk route," he said.

"It's proposed that priority be given to commercial groups and that camping be restricted."