Historic buildings would be restored for use as huts.
Under the Otago Peninsula Trail project, new tracks would be developed to link those already in place on the peninsula, such as at Harbour Cone, if access agreements could be reached with landowners.
The concept, developed by three Dunedin residents and outdoor enthusiasts, received a warm response when presented to the Otago Peninsula Community Board meeting this week.
Group spokesman Mike Morrison told the meeting the trail would cater primarily for older walkers, families with young children and education groups.
As well as traversing the peninsula, he envisaged the trail continuing to St Clair, linking with Cargill's Castle - if it is eventually opened to the public - and beyond.
The proposed Otago Harbour ferry service - which planned to use the Elsie Evans ferry now being refurbished - would allow walkers to cross between Portobello and Port Chalmers, linking tracks on opposite sides of the harbour, Mr Morrison said.
"There's a lot of these tracks already. We are simply joining the dots."
Local guides could be employed for those wanting assistance, or it could be available for freedom walkers and cyclists, with kayaks available to cross the Papanui and Hoopers Inlets, he said.
Historic buildings could be restored to provide accommodation, adding a "genuine authenticity" to the experience.
While stressing the proposal was at a concept stage only, he pointed to other trails, such as those at Banks Peninsula, Kaikoura Coast, and the Tora Costal Walk across the southern Wairarapa, as examples of what could be achieved.
"It's intended to enhance the image and reputation of Dunedin," he said.
The start and finish points, and the trail's final route, had not yet been identified, and would depend on support from landowners and the wider community, he said.
Mr Morrison said he had a "lifelong interest" in the outdoors, worked for the Department of Conservation for 14 years and was recently elected as a trustee of the Yellow-eyed Penguin Trust.
His partners were Carol Tippet, who grew up in Dunedin, and Simon Noble, who moved to Dunedin in 2007.
After the meeting, Mr Noble told the Otago Daily Times it was too soon to say what the development costs could be.
He said if the community supported the trail, it could be launched in a couple of years, and fully developed over a decade.
The trio would aim to form a non-profit organisation to oversee the trail and seek funding from other groups. They had no plans to establish their own commercial venture to profit from the trail, he said.
"We see the possibility of it complementing or providing opportunities for other people to establish businesses," he said.
The community board voted to help the group organise a meeting with interested parties, including landowners, to discuss the trail proposal.
