Queenstown Airport Corporation has agreed to allow Southern Infrastructure Ltd to explore whether land we own to the north of the airport could be used for a public hospital. This agreement has attracted public interest, so we wanted to explain what is being explored, why we’re involved, and what has and hasn’t been agreed.
What has Queenstown Airport agreed to?
In April 2026, we entered into an 18-month exclusivity agreement with Southern Infrastructure Ltd. The agreement gives Southern Infrastructure time to investigate whether our land could be suitable as a potential site for a future public hospital, and to engage with Health New Zealand, government agencies, and other stakeholders.
Where is the potential hospital site?
The exclusivity agreement relates to about four hectares of land owned by QAC behind Mitre 10 and the Pak’nSave supermarket, to the north of the airport.
Is Southern Infrastructure proposing a private hospital?
No.
The proposal being explored relates to a potential public hospital providing public healthcare services. Under the model being considered, any healthcare services would be delivered and operated by Health New Zealand. If a healthcare proposal were to proceed, it would be subject to detailed assessment and approvals.
Why is Queenstown Airport involved?
We own about 15 hectares of undeveloped, non-aviation land on the Frankton Flats. This land is a separate block to the north of the airfield, is not required for airport operations, and sits outside Queenstown Airport’s noise boundaries. As part of our long-term planning, we regularly consider how our landholdings could best be used. As a majority community-owned company, we believe it is appropriate to explore opportunities that could create long-term value for both Queenstown Airport and the wider district. We know that access to quality public healthcare is an important issue for residents of the Queenstown Lakes District and we believe exploring whether our land could support that outcome is consistent with our role as a majority community-owned company.
Has QAC committed land to a hospital?
No.
We have not entered into a lease agreement, land sale agreement, binding development agreement or any other arrangement requiring QAC to proceed with a hospital development. The exclusivity agreement simply allows the possibility to be explored.
How does this relate to QAC's other land planning?
The hospital-related exclusivity agreement relates to a specific parcel of land and a specific feasibility process being undertaken by Southern Infrastructure. Separately, we undertake longer-term planning for our broader non-aeronautical landholdings and regularly discuss these matters with shareholders as part of our Statement of Intent process and ongoing shareholder engagement. These are separate processes.
Would a hospital affect airport operations?
No.
The land being explored is non-aeronautical land outside Queenstown Airport’s noise boundaries and is not needed for airport operations. Queenstown Airport continues to advance its airport infrastructure development programme, including significant airfield investments and plans for a major terminal expansion and upgrade.
What happens next?
This is still at an early stage. Southern Infrastructure will continue investigating the opportunity with relevant agencies and stakeholders. Should it progress, any future proposal would be subject to further assessment, engagement, and approvals. No decisions have been made, and it is too early to determine whether a hospital will be developed on the site.
