I think it'd be a shame to not see Te Anau and Milford while you're so close. I highly recommend at least a look-see at Glenorchy too, which is only 40 minutes from QT. Mt Aspiring Nat'l Park from Wanaka is spectacular (about an hour's drive to get there).If you want to continue driving south, there's always the Catlins, Dunedin and Stewart Island too. And inland is Lake Tekapo and Mt Cook.

One of the best excursions we did a number of years ago on our 3rd trip to New Zealand was the guided hike of the Hollyford Track. The scenery is absolutely stunning and it's certainly a part of New Zealand that few people get the chance to see.

From Queenstown, I would drive to Te Anau and spend a day there before the tour begins. That will give you a chance to see the glow worm cave and enjoy the sights of Te Anau. The guided tour lasts 3 days and on day 3 you fly along the coast and over Milford Sound. (When we did the tour, the plane left earlier in the day so that you could also do a boat tour of Milford Sound, which we actually found kind of boring. We thought the flight from the lodge to Milford was much more interesting that the boat ride.)

We are not "guided tour" people, so we took the map they provided us and did a lot of the hiking on our own away from the group. There are some times you will want/need to be with the group, and I'm sure you will find the other guests as interesting as we did. The evenings in the lodges were great fun.

Here's a link to the tour details: http://www.hollyfordtrack.com/

You could also do the loop via Otago Rail trail area, the Pig Route in Central Otago is beautiful country especially when there are the NW arch cloud formations, reminds me of Montana a bit.

Look up the great Fleur's Place in Moeraki. Also visit Dunedin/Otago you will be there during hoiho nesting season so worth a visit to Penguin Place or going on Elm Wildlife tour. As far as the albatross I think the viewing is fine from the parking lot if it is windy they will be overhead.

My fave lodging Dunedin Central is Hulmes Ct. Love Norm the staff and cats. Norm was a geography major and has great library of natural history books and NZ vids. Usually stops in for a sit down with guests at breakfast.

http://www.hulmes.co.nz/

Thanks to all of you for your replies. Longhorn, the Hollyford outfitter has no trips during our time there and is more than we want to spend. Mlgb, Fleur's has been on my list but is now has a "must eat" designation. Seafood will be on my menu almost every night!

We will stay with our original plan but with a few modifications. Melnq8, I have been thinking about Glenorchy since I read your "long white cloud" trip report. I liked your day trip approach to hiking rather than hiking the entire track. I have found a flyfishing outfitter there (instead of Gore) and am toying with 4 nights in Glenorchy and 2 in Te Anau. The Precipice Creek Station is not available, so I am looking at the Mt. Earnslaw Motel or Glenorchy Hotel. Based upon your advice elsewhere on this forum, I will book one of these right away but be less hurried about Te Anau.

You could also do Kinloch Lodge on the other side of the river near Glenorchy. They rent fishing gear. Probably way cheaper than an outfitter.

http://www.kinlochlodge.co.nz/

They suggested Sylvan Lake for trout fishing, seemed to be a sure thing. Even saw a guy in office clothing walking in to pick up dinner. I'm sure the guys at Kinloch can direct you to other options.

Sylvan is the lake in the middle of my video

http://www.youtube.com/watch?v=PZhbnaKXSi0

mlgb...What a great option Kinloch Lodge appears to be. Did you stay in the Heritage rooms or Wilderness rooms (hostel)? I am not sure the lake fishing will satisfy my flyfishing husband, but either type of accommodation looks like a better value than what I am seeing in Glenorchy.

Glenorchy definitely has as void when it comes to accommodation. It's either low end or high end with very little in between. If you're looking for something more along the lines of Precipice Creek, ie expensive, but not Blanket Bay silly expensive (!) this place might fit the bill:

http://glenorchylakehouse.co.nz/

Otherwise, there's not alot out there.

Be sure to take some DEET if you stay at Kinloch - sandfly central in my experience.

FYI - there are some accommodation options between QT and Glenorchy too. Depends on what you're looking for.

My nightly budget is NZD210, but I was willing to splurge for Precipice Creek Station at NZD230, but it is unavailable. Glenorchy Lake House is NZD325, so too much for us, especially if we stay 3-4 nights. What other options are there between QT and Glenorchy, melnq8? We prefer ensuite and clean.

I feel your pain steamboastsista...Lake House is out of my budget too. Precipice Creek is too for that matter, but it was a splurge for a special occasion.

Pickins are slim:

http://www.littleparadise.co.nz/

I'll post if I find any others.

If you have 4 nights in the Abel Tasman region, Check out Wilsons Abel Tasman www.AbelTasman.co.nz for options including staying overnight in the National Park at Beachfront Lodges. The overnight trips include all accommodation, food, transport (Nelson to Nelson) and luggage transfers so they are cost effective - especially if you catch a bus from Picton to Nelson and then pick up a rental car in Nelson after your trip in Abel Tasman National Park.

If you enjoy cycling, I highly recommend the Central Otago Rail Trail www.otagorailtrail.co.nz and especially Adventure South who operate trips, ending with the antique rail journey from Middlemarch to Dunedin - absolutely breathtaking.

Thanks for your replies and your research, Melnq8. I think that either the Mt. Earnslaw motel or Kinloch Lodge will be OK if we decide to go to Glenorchy.

We are currently booked at Abel Tasman Marahau Lodge which is in our price range and very close to the ferry pier. HLucy, I do like your idea of taking the bus. Seems a waste to rent a car and then park it. I will look into it.

steamboatista, I stayed in the shared acccommodations at Kinloch (although I never actually shared). Others have stayed in the Heritage building and deemed it fine. BTW I did not have any unusual sandfly issues at Kinloch and I am very sensitive. I find the buggers far worse on the west coast. You do need to DEET up in the wilderness areas when ever you are near water.

BTW excellent restaurant at Kinloch.

One of the nice things at Kinloch is free wifi and access to the backpacker kitchen.

There are stream outlets leading from Lake Sylvan and saw a few people trying there, but the major successes seemed to be out of the lake. Everyone had enough for dinner. The people in the office at Kinloch seem to know where to go.

Hi, steamboatsista,
my sister, brother-in-law and some of their adult family did the Central Otago Rail Trail January 2009, and all absolutely loved it. This was after they had had a very wet walk of the Tuatapere Track, which they all found very challenging but rewarding.
Have a great time here in NZ.
Dot