Developers Bob Robertson (Infinity Investment Group) and Murray Frost (Wanaka Bay Ltd) announced the subdivision shortly after acquiring the 70ha block of former farm land near Beaconpoint Rd in 2001.
The two companies are 50-50 joint venture partners.
Now, GJ Gardner Homes, associated with former All Black coach Laurie Mains, is building the first home - a 285sq m show home - on lot 35 in stage one of the six-stage development.
Construction manager Andy Giles said yesterday although his company was first to turn the sod, the race was now on to complete the first home because other builders were about to start construction at Peninsula Bay next week. GJ Gardner Homes is building three houses, including
the show home.
The company also has seven houses under construction at Allan Dippie's Timsfield subdivision near Lake Hawea.
"We are extremely busy. We have [contracts for] up to 19 out there [at Timsfield] and have finished about five,'' Mr Giles said.
GJ Gardner Homes employs nine builders in Wanaka and uses contractors for key parts of construction, such as laying concrete pads or putting up gib-board.
Hiring builders had been a struggle earlier in the year, Mr Giles said, but it was easier to get workers now. Building was a "mixed bag'' industry in Wanaka, but the work did not appear to be drying up, he said.
The company hoped to complete the show home within three to four months. The cost of building the single-level, four-bedroomed house with two bathrooms and attached double garage would be about $600,000.
However, GJ Gardner sales consultant Andrew Graham said prices always varied depending on what clients wanted.
Infinity sales manager Tony Brown said that when 75 Peninsula Bay sections were first released to the market at a silent auction in 2003, the company turned over $34 million.
Lot 35 attracted a conditional contract for $400,000 at that time. The most expensive lot sold for just over $1 million and the cheapest lot at that time was $350,000.
The subdivision was delayed by resource management issues relating to landscape and vegetation preservation and urban sprawl.
The Environment Court eventually ordered the developers to go through a zone change process rather than apply for resource consent.
High land values meant the subdivision was expected to sport a wide range of million dollar-plus homes but it was always intended to be a high quality subdivision, Mr Brown said.
Peninsula Bay has a community centre including a solar-heated swimming pool, gym and barbecues, landscaping and clubrooms.
