After four years of attempting to resolve Skyline Enterprises' unauthorised encroachment on to a public reserve, the matter has finally been put to rest.
The Queenstown Lakes District Council earlier this week agreed to approve a new lease for the use of the land as a car park, subject to seven conditions.
A last-minute written plea by Skyline Enterprises managing director Ken Matthews resulted in the council deciding to drop a $10,000 penalty for what had been described as "unauthorised damage" to the reserve.
One of the most important conditions is that Skyline Enterprises makes car parks available to other commercial users on Ben Lomond Scenic Reserve.
Skyline can charge rent, but the rent must be the same for all parties.
Lakes Property Services manager Jo Conroy said Mr Matthews had protested the unfairness of the $10,000 penalty as the land had been cleared of scrub and broom and this could not be described as damage.
Skyline extended its existing car park without legal authority in 2005 to alleviate serious parking issues, but informal use of the land had been going on for about 20 years.
There were delays in getting the new lease sorted out when a competitor applied for resource consent to use council land for its operation, including part of the unauthorised car park.
Once that was resolved, the issue was deferred while the Queenstown transportation study and parking strategy was being carried out.
The new lease would be backdated to January 2006, with the annual rent to be determined by valuers but estimated to be about $12,000.
Skyline had admitted it was wrong to extend its car park without authority,Mrs Conroy said.
Buildings were located in such a way that the reserve could not be easily accessed except by driving around Skyline's terminal and the land was unusable for any purpose other than a car park.
Parking was tight in the central business district and many operators faced parking pressure.
But the solution could not always be to use reserve land.
The council should not be seen to be approving leases where occupation had been created by encroachment, Mrs Conroy said.
The councillors agreed. They did not want to see any other case of that kind.
