Business South October 2026

68 | Lake McKay DEVELOPMENT The changing face of Luggate Titles for Stage 3 are expected to be released in November and Stage 1 and 2 have already sold out. T T Aimee Wilson The Lake McKay subdivision will almost double the population of Luggate by the time developers have finished in a few years’ time. Titles for Stage 3 are expected to be released in November and Stage 1 and 2 have already sold out in the 5 Stage development — named after a small lake in the nearby Pisa Range. Lake McKay also feeds into Luggate Creek, and first home buyers have been flocking to the town just 10 minutes out of Wanaka, as an affordable option. Stage 4 will open up more land beside the creek in October, and then developers will start working on the reserve with tennis courts and a pump track. Development manager Murray Frost oversees several companies involved in large-scale residential and commercial projects throughout Queenstown Lakes and Central Otago. There’s the nearby Cromwell Industrial Development which has only a handful of the 37 sites still on the market, since being established last year. Lake McKay Limited Partnership has taken over the old Upper Clutha Transport site in Luggate and will eventually be turned into a village hub with a retail precinct over the next two to three years. The historic site was once home to the stone flour mill back in 1880, but it was also a transport base for over 100 years. The new sections in Stage 3 will be a mixture of 600sqm to 800sqm, making it affordable for younger people, and creating a better balance of demographics in the town. “It has changed a lot and the community association is focused on improvements to the townscape, making it a nicer village and environment to be part of. We’ll be close to doubling the size of Luggate when we’re finished,” Murray says. The development of Luggate first started a few years back with a 100-lot subdivision and then the Lake McKay subdivision has added another 150 sections. Stage 5 will open up a further 35 sites for housing, alongside the retail precinct development. “The village green has been successful for the town and adds a community feel. There are a lot of young people living here now which is a great thing. There used to be a school here and maybe there might be another in the future.” Murray has noticed that people are building soon after they purchase the land and not hanging onto it as much as they were in the past. “Wanaka and Luggate are just places that people want to live. It’s always going to be attractive.” The surrounding towns of Albert Town and Lake Hawea are also starting to experience huge growth, and recent infrastructure upgrades to both wastewater and drinking water has enabled the Upper Clutha to keep up with demand.

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