Several other significant roading projects in the Wakatipu are also scheduled for completion by next December.
Queenstown Lakes Mayor-elect Jim Boult announced yesterday Fulton Hogan would begin work on the $21.8 million EAR project on October 25.
The entire road, formally known as Hawthorne Dr, will include a link from a roundabout near Pak’n Save and is expected to be complete by next Christmas.
Mr Boult said it would allow drivers travelling between Frankton and the Shotover River to avoid the State Highway 6 and 6A junction, which was a "long-standing choke-point for traffic".
"This has been a long time in the making and it’s great to see the contract awarded so work can begin right away.
"Being able to open up a transport link before winter next year will be of huge benefit to locals and visitors alike.
"This announcement is a credit to both the previous council and the transport agency for laying the groundwork to get this project under way."
Council general manager, infrastructure, Peter Hansby said it was the culmination of "a lot of hard work and co-operation over the past 12 months".
The road has been a long time coming — in 2008 the NZTA, then Transit New Zealand, announced plans to close the Glenda Dr intersection to outgoing traffic and right-turning traffic and build a roundabout leading to a new road to service Glenda Dr and Remarkables Park.
It took until last year for the work at the black spot intersection and the roundabout to be completed.
In January 2014, Remarkables Park developer Alastair Porter, in an effort to motivate authorities to finish the EAR, spent $5 million building a 650m stretch of road and two 200m-long intersecting roads.
However, several parties had been involved in various lawsuits, which were the main reason for the delay.
Acting NZTA southern regional director Michael Aitken said he was happy to see the link progress and said it was an "essential part" of a wider project to manage the effects of Queenstown’s unprecedented growth.
In a statement, Transport Minister Simon Bridges said the awarding of the contract was "fantastic news for Queenstown".
"Visitor numbers in the area are continuing to grow, and new developments associated with a strong economy are putting increasing pressure on the local transport system."
The Government, through the NZTA, was working with the Queenstown Lakes District Council to improve the area’s transport network, Mr Bridges said.
Other work planned or under way included adding a second lane on the western side of the BP roundabout by mid next year, completing the $22 million replacement two-lane bridge at Kawarau Falls by the end of next year; and improving State Highway 6 from the new Grant Rd roundabout to Kawarau Falls.
