The Queenstown Skyline gondola is set for a multi-million dollar revamp.
The current system - which was installed nearly 30 years ago in 1987 - will more than double its passenger quantity from four-seats per carriage to a state-of-the-art 10-seat configuration.
It'll increase hourly capacity from 1100 people an hour to 3000.
In addition, the Stratosfare restaurant will nearly double in size from 330 seats to 650 while the chairlift to the top of the luge track will be increased from two-seaters to four.
"This development is about future-proofing Skyline Queenstown as a premium tourist attraction and ensuring it delivers to a world-class standard," Skyline Enterprises chairman Mark Quickfall said.
"As well as accommodating higher visitor numbers, it will feature one of the most technologically advanced gondola systems available, cutting down wait times at the base terminal."
The Skyline Queenstown is set to close for 8-12 weeks in autumn 2018 to accommodate the development, but the majority of the construction work will be done on either side of the temporary closure.
Pending a successful resource consent application, the $NZ60 million ($A56.37 million) project is expected to start in March 2017.