"Character precinct", a village green and a pedestrian-friendly hub are proposed for the main street of Cardrona village.
The Cardrona Valley Structure Plan is a community vision document designed to help the Queenstown Lakes District Council manage growth and development in the Cardrona Valley over the next 20 years.
It was approved at a council strategy committee meeting in Queenstown on Tuesday.
The plan says balancing the preservation of rural character and heritage with the economic benefits of growth was a "major challenge" for the Cardrona Valley.
The plan proposes the zoning of employment land in the valley to allow people to live and work in the area.
It calls for the provision of an open space such as a village green on Cardrona Valley Rd as a focus for visitors and the community, and a riverside commercial and retail zone.
A network of trails and walkways should be developed linking up the different zones and activities.
Buildings should retain the historic character of the village and have height restrictions, the plan says.
A report to the committee by council senior policy analyst Ralph Henderson said 26 submissions were received on the plan.
Most were supportive of the employment land, development of a main street, more community facilities and the character precinct.
However, most were against the village green because they preferred a riverside domain.
The Otago Regional Council submitted that no further development be allowed on the other side of the Cardrona River or in the floodplain because of flood risk.
