Tender documents said the Queenstown Lakes District Council (QLDC) wanted a suitable real estate agency to lead the listing and disposal of the 9.5ha commonage land on Queenstown Hill.
The council attempted to dispose of this land in 2017 and 2021, but on both occasions was unsuccessful.
In August 2018, the Otago Daily Times reported the land was expected to sell for more than $20 million.
But since then the price of resort property has skyrocketed, the median property price in the area rising from $1.19m in August 2018 to $1.732m in August this year.
Bayleys Queenstown group operations manager Stacey Coburn said listings were "pretty tight" in Queenstown.
"Land of this sort is pretty uncommon," Mr Coburn said.
But he said it was difficult to put a price on it.
"The market has been challenging recently."
The tendering proposal said it was the council’s third attempt at disposing of the land, "therefore it was imperative that this time round was successful".
The tender document said agencies based outside the district would be permitted to lead the listing, but a local representative must be present throughout the disposal of the block.
Most of the commonage land, entrusted to the council in 1971, was developed during the periods of 1975- 2002, providing residential dwellings across Belfast Tce, Kent St, Manchester Pl and Edinburgh Dr.
In 2018, the Otago Daily Times reported the land attracted more than 80 inquiries and five formal purchase offers were made, but it was taken off the market after a suitable deal could not be reached.
A council spokesman said the land was one of a small number of long-held development blocks it intended to sell over time.
The decision to sell the land was made as part of its previous long-term plan process.
