Growing demand for year-round alpine living is defining the core alpine property markets around the world, with New Zealand following the same trends.

Bayleys’ global real estate partner Knight Frank surveyed a broad spread of prospective purchasers for permanent residences, holiday homes and investment properties in prime alpine locations for The Alpine Property Report 2025 and confirmed that global alpine property markets remain resilient.

It found strong investment in infrastructure and amenity in these areas, with summer tourism and wellness overtaking skiing as the primary alpine drawcards.

Bayleys general manager commercial South Island, William Wallace says investor and developer activity has surged in key alpine areas like Queenstown, Wānaka and Lake Takapō/Tekapo, with the ripples extending to supporting towns such as Cromwell.

“Appetite for alpine property continues to be underpinned by remote work trends, lifestyle reassessments, and infrastructure investment, with commercial property that supports the visitor economy and everyday needs of residents in these areas also in high demand.

“The number of residential developments and commercial initiatives underway in Queenstown is astonishing, with key projects approved under the government’s Fast-track Approvals Act showing further confidence in the broader Otago Lakes district despite residual headwinds in the economy.”

Investment in regional infrastructure continues and includes multi-million-dollar upgrades by Queenstown Airport, a pitch by Queenstown-Lakes and Central Otago district councils for government support to fund a new Southern Lakes base hospital and hopes for a $200 million gondola to connect Frankton and the CBD.

With the Knight Frank report stressing the importance of year-round appeal for buyers considering property investment in alpine towns, Bayleys Queenstown residential sales manager, Dee McQuillan says Queenstown is diversifying its lifestyle amenities and embracing health and wellness trends.

“There is increased interest and understanding of what it takes to live a holistically-well lifestyle. Queenstown already has so many drawcards like hiking, cycle trails, bush walks, and lake-orientated activities, but developers and businesses have also responded with other great initiatives.

“A new integrated gym, recovery and healthcare facility has opened in Frankton offering saunas, cold plunge pools, pneumatic compression therapy, cryotherapy, hyperbaric oxygen therapy along with specialist healthcare services. In the centre of town, a floating sauna and cold plunge pool is to be located within the town’s marina, and a luxury hot pools development is planned near the Skyline gondola and mini-golf attractions.”

McQuillan says new residential projects are meeting demand from first-home buyers and investors, with developers recognising opportunity to increase the housing supply by delivering attractive product across the most sought-after typologies.

“The primary driver for the market across the board comes back to lifestyle – it’s the biggest motivator for people moving into and within the area.”

Bayleys national director projects, Suzie Wigglesworth says the firm’s recent attendance at the Sydney Property Expo as the only exhibitor from New Zealand uncovered some valuable insights into the Queenstown market.

“Among the development projects we profiled were Mountain Oak by Safari Group and Kawarau Villas by Redwood Group and we were surprised at how few Australians realised they could purchase property in New Zealand.

“Key feedback from Sydney-based buyers was they love New Zealand, and almost everyone who attended our stand had been to Queenstown. We also found a preference for standalone homes or freehold townhouses rather than body corporate governed apartments.”

Wigglesworth says there’s strong demand for sub-$1 million Queenstown properties, with market-relevant projects being launched, sold down off plans and completed in a timely fashion.

In the North Island’s Central Plateau alpine market, Bayleys Whanganui and Ruapehu director John Bartley, says listing and buyer activity has been robust reflecting greater certainty around Mt Ruapehu skifield operations and the more-friendly interest rate environment.

“The residential market remains accessibly priced for both permanent residents and those looking for a holiday home, providing a central base that’s a quick drive from Taupō, Whanganui or Palmerston North airports.

“While the 10-year concessions granted to Whakapapa Holdings Limited and Pure Tūroa to operate the skifields on the north and south sides of Mt Ruapehu have provided some confidence to the market, international hotel operators and tourism asset developers would likely be wanting longer term assurances before committing to significant capital investment in the district.

“The closure of the Chateau Tongariro was a blow to the tourism sector, but it has given more bed nights to other operators in the area with strong occupancy being noted. The visitor buses keep coming, too, with people wanting to hike the Tongariro Alpine Crossing, cycle the Te Ara Mangawhero ecotourism trail connecting Tūroa and Ohakune, kayak or trout fish.”