Queenstown Lakes commissioners John Matthews and Gillian Macleod decided a proposed 20 residential unit complex on a 8476sq m lot in Hyland St, Meadowstone, is appropriate for use as visitor accommodation.
Despite the 22 opposing submissions made by neighbours, Mr Matthews said visitor accommodation was expected in the low-density residential zoned area and was allowed as a discretionary activity under the council's district plan.
Neighbouring residents of the complex labelled the developer - Willowridge Ltd, a company directed by Dunedin-based Allan Dippie - "sneaky".
The company obtained resource and building consents in 2004 to build eight residential units on the Hyland St site.
In July 2007, a Willowridge resource consent application to undertake a comprehensive residential development and use the buildings as visitor accommodation was made, then withdrawn.
Instead, another application was made - and subsequently granted - to develop and provide for a total of 18 units on the site by way of a two-stage subdivision.
Willowridge then applied to use the consented buildings as visitor accommodation.
Mr Matthews said there had been "incremental increases" in Mr Dippie's intentions for the development.
However, while the concerns of nearby residents about the way the development had occurred could be understood, there was nothing unlawful or, in fact, particularly unusual in developments proceeding this way.
Although neighbours had criticised the visitor accommodation application as retrospective in its operation, it was not so, Mr Matthews said.
Willowridge had instead moved "sequentially" - as it was entitled to do - through the consenting process.
"That said, developers can scarcely complain if they are criticised for not making their end intentions clear at the outset, by applying for all the consents they ultimately intend to seek."
Proceeding that way was seen by affected parties as more straightforward, Mr Matthews said.
