At Thursday's full Queenstown Lakes District Council meeting in the resort, the council resolved to name a reserve on Queenstown Hill, between Manchester Pl, Edinburgh Dr and Windsor Pl, ''Dr William Anderson Park'', subject to iwi consultation.
In a report to the council, parks and reserves planning manager Stephen Quin said a $112,461 bequest had been received from Prof Joan Mary Anderson, the daughter of the late Dr William Anderson OBE JP MB ChB, to create or enhance a Queenstown park or reserve, provided an appropriate memorial to Dr Anderson was established.
Dr Anderson arrived in Queenstown in 1920 and remained the sole medical practitioner and superintendent of the Wakatipu Hospital from 1923 until he retired in 1950.
He provided "exemplary'' service to Wakatipu, and responded to requests for his services from all parts of the region.
He penned a memoir, Doctor in the Mountains, which detailed difficult journeys to injured or sick patients, with limited medical and surgical resources.
Dr Anderson also spent 27 years as an elected member of the Queenstown Borough Council, including 11 years, from 1939 to 1950, as mayor.
A tribute to Dr Anderson by the Queenstown and District Historical Society, of which he was the first president, said he was deputy mayor for 10 years, St John Ambulance Queenstown sub-centre chairman for several years, and St John divisional superintendent.
In 1970, his 50 years' voluntary service was recognised when he was made an Officer of the Most Venerable Order of St John.
He died in 1978, aged 90.
His daughter, a New Zealand scientist who was based in Canberra, Australia, became one of the most internationally recognised plant scientists, distinguished by her investigation of photosynthesis.
Prof Anderson died in August last year, aged 83.
The council will use up to $10,000 of the bequest for design of reserve enhancements and a memorial to Dr Anderson.
The remaining money will be spent implementing the design for the reserve.