Government Invests in Otago’s Education Future with $27M for New Classrooms
“There is huge potential for Otago Central Lakes to become a centre for digital and tech investors, alongside our traditional backbone industries,” Meager said.

- Country:
- New Zealand
Hundreds of students in Otago’s growing Central Lakes region are set to benefit from new, modern learning environments as the Government commits $27 million in infrastructure funding to support educational growth, quality, and resilience. The investment focuses on expanding capacity at two high-demand schools and securing land for a future primary school in Queenstown — a region that continues to see rapid population increases.
Education Minister Erica Stanford and South Island Minister James Meager announced the investment as part of the Government’s broader strategy to ensure that every child across New Zealand has access to safe, warm, and dry classrooms, and that the country’s education infrastructure keeps pace with demographic change.
New Teaching Spaces to Support Growth in Otago Schools
The newly announced funding will support:
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Six new teaching spaces at Dunstan High School, a key secondary institution in Alexandra, helping the school accommodate increased enrolments.
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A 12-classroom expansion at Te Kura Whakatipu o Kawarau, a full primary school in the Queenstown suburb of Hanley’s Farm, which has experienced a significant surge in student numbers due to the region’s population boom.
“This investment is about getting ahead of growth and ensuring Otago students have access to high-quality learning environments that meet the needs of their communities,” said Minister Stanford. “Queenstown, in particular, has had strong and steady growth over the last decade, and we are committed to ensuring they are equipped to teach the basics brilliantly.”
Planning for both projects is already underway and construction is expected to begin within the next 12 months. This accelerated timeline reflects the Government’s commitment to enabling earlier access to upgraded facilities for students and teachers.
Land Secured for Future Queenstown Primary School
In addition to these expansions, the Government has also confirmed the purchase of a site at Ladies Mile in Queenstown, designated for a new primary school to meet future demand in the region.
“Funding for construction of the new primary school at Ladies Mile will be considered in future years,” said Stanford. “But by securing the land now, we can respond quickly when capacity is needed.”
The site acquisition positions the Ministry of Education to fast-track development as soon as population data and enrolment projections signal the need for additional capacity.
South Island Growth Strategy: Education and Economic Potential
South Island Minister James Meager highlighted the broader strategic goals behind the investment, pointing to Otago Central Lakes’ potential to evolve into a digital and technological hub while maintaining its stronghold in tourism and agriculture.
“There is huge potential for Otago Central Lakes to become a centre for digital and tech investors, alongside our traditional backbone industries,” Meager said. “To enable that investment, we need to foster brilliance in our young people by investing in their future and building for growth.”
He added that high-quality education infrastructure is also a key factor in attracting a skilled workforce to the region — an essential part of driving long-term regional prosperity.
Smarter, More Efficient School Construction
Minister Stanford also outlined how the Government’s standardised design model and offsite construction techniques are significantly improving the speed and cost-effectiveness of school property development.
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Average classroom costs have dropped by 28%
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30% more classrooms were delivered in the last year compared to 2023
“These efficiencies allow more schools, communities, and children to benefit sooner,” said Stanford. “We will continue to drive costs down so more Kiwi kids can thrive in safe, future-focused learning environments.”
A Continued Commitment to Regional Education
This announcement follows recent Government pledges to support school growth in Canterbury, the Central North Island, and the development of specialist education infrastructure nationwide. The Otago expansion is part of a larger education strategy that balances immediate infrastructure needs with long-term regional planning.
“Quality education is crucial to growing the regions,” said Meager. “These new classrooms are an investment in the future of young learners in Otago Central Lakes — and in the future of New Zealand.”