An announcement will be made today identifying new special housing areas in Queenstown.
On the Paul Henry Show this morning, Housing Minister Nick Smith said that housing affordability in Queenstown had the worst housing affordability in the country and was "worse than Auckland".
"You've got situations of 24 people working in the tourism industry, living in a four bedroom house," he said.
"And then you've got this element of people objecting to new special housing areas because they'd like paddocks next door and that's where we have to make some choices."
The special housing area would open up space for an additional 350 houses, he said.