The Queenstown Lakes District Council this week approved a proposal by Skyline Enterprises to build and maintain world-class mountain-bike tracks within the Ben Lomond Reserve.
The Queenstown Mountain Bike Club approached the council and Skyline after realising the possibility of expansion throughout the forest.
The tracks, which will tie in with the existing layout, will be open to the public and commercial ventures.
QLDC district forester Briana O'Brien supported the project.
"There is great potential for using the Skyline Gondola for public lift access. We are proposing to use the gondola on a trial basis and measure its success."
Cr Leigh Overton also expressed his support: "The project clearly has great economical and environmental benefits. A lot of positives could come from this. I'm behind it."
The management agreement is for a period of five years.
The first trail will be a beginner level perimeter trail that will be used as a base for further development.
The council declined the club's request for a licence to construct trails throughout the Coronet Forest, instead granting a five-year licence to the Equestrian Users of the Wakatipu group.
After hearing of the mountain bike club's proposal, the Equestrian Users group expressed concerns for the safety of its riders, who regularly use the area.
"Our main concern is safety. The conflict between cyclists coming downhill and riders is clear. It can't be guaranteed to be accident free," Wakatipu Riding Club member Gemma Smith said.
- Naeem Alvi