Fear of competition could be driving a developer's appeal against the Queenstown Lakes District Council's proposed plan change for Mount Cardrona Station, Judge Jon Jackson said in the Environment Court hearing in Queenstown yesterday.
The hearing is an appeal by Brooklynne Holdings Ltd and Charles and Jenny Roberts against plan change 18.
The plan change proposes to move Cardrona Valley's rural visitor zone, double it in size from 16ha to 32ha, and rezone 92ha of Mount Cardrona Station into protected open space.
Counsel for the Cardrona Valley Residents and Ratepayers Society and Mount Cardrona Station Ltd, Lauren Semple, asked whether fear of competition was driving the appeal.
Judge Jackson appeared to agree.
"There is a whiff of that. You don't need to say any more. It will be addressed in the issue of costs," he said.
Ms Semple said Mount Cardrona Station was approached by the council after the community had indicated it wanted the plan change.
"Mount Cardrona Station is not a developer coming into the area seeking to impose its view on the community," she said.
Brooklynne Holdings Ltd, headed by developer Kathy Lynne, of Albany, has resource consent for several projects in the valley's second rural visitor zone, including a 58-bed backpackers hostel with cafe and shop.
Counsel for Brooklynne, Rob Enright, said his client was concerned about the scale of the proposed plan change and the effect on her development.
The proposed development would be visible from his client's consented visitor accommodation, he said.
It would be too large, facilitate sprawl and was not environmentally justifiable.
The council presented evidence to the court yesterday from urban designer Rebecca Skidmore, who said the plan change would result in a "superior settlement pattern".
