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Tentative South Island NZ itinerary--what do you think?

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My husband and I are planning a trip to the south island of New Zealand in November. We spent a week on the north island in 2005 and have wanted to return to take in the beauty of the South ever since. We are flying from San Francisco to Auckland (restricted by frequent flyer miles) and will spend 2-3 nights there since we bypassed that city last time. Then we head to the south island for about 16 days. We hope to do day hikes, kayak, sample the cities, and enjoy what looks to be magnificent scenery.

We may consider camping/cabins for part of the time but definitely want to stay in some hotels/inns/b&bs as well. Accommodation budget for noncamping time--under US$200 (NZ 270) per night.. Recommendations appreciated.

Here's our first stab at an itinerary. Would love to have your feedback on whether it is too much to tackle. (This will likely be our final trip to NZ.) Also would appreciate advice on where we need to reserve, and how far in advance.

1. Fly to Nelson Airport, pick up rental car, and drive to area of Abel Tasman National Park--3 nights

2. Drive down the west coast; see Franz Joseph and Fox Glaciers, descending from Arioki Mt. Cook--2 nights, perhaps in two different places (one near the glaciers, one further north)

3. Queenstown-Wanaka area; Arioki Mt. Cook from other side; stay in Arrowtown?--3 nights

4. Te Anau--1 night

5. Milford Sound--2 nights

6. East coast, staying in Dunedin/Otago Peninsula area--2 nights

What do you think?

7. North along coast to Christchurch/Banks Peninsula area--3 nights

Fly to Melbourne from Christchurch for 3 weeks in southern Australia, focusing on Melbourne area and Tasmania

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