Estimated to cost between $1.6 million and $1.9 million, the new facility would cater for the club's growing membership.
Wanaka Yacht Club Commodore Jeff Mercer said the upgrade would future-proof the club, which had experienced massive growth recent years.
"Our current building is starting to show its age and we have simply outgrown it," he said.
"We need to upgrade our facilities for the enjoyment of our members over the next 30 years and beyond."
Sailing great Sir Russell Coutts has backed the project and said it could help Wanaka secure national and international yachting events.
The size of the proposed facility would be about 558sq m - almost four times bigger than the existing 140sq m building in Lakeside Rd.
Boat storage would take up most of the building's ground floor, changing rooms and a public area would be on the mid level.
The top floor would include race control hub, office space and a meeting room. There were also plans to open a cafe at the facility.
Before a resource consent application is lodged the club would undertake an independent feasibility and sustainability study.
Future improvements to the club's building were specifically allowed for in the Queenstown Lakes District Council's Wanaka foreshore reserve management plan and the Lake Wanaka lakefront development plan.
Once operational, the new facility would also be available to other community organisations and clubs for meetings and events.
