Tourism giant Real Journeys is building a village for its staff at Walter Peak to beat exorbitant Queenstown rents

The company has spent $1.5million on three new houses for staff at Walter Peak High Country Farm, to where it operates the vintage steamship TSS Earnslaw.

Chief executive of Real Journeys' owner Wayfare, Richard Lauder, says many of its staff face "rent challenges" in Queenstown.

The houses are the first stage of a "village" of 14 dwellings, of between one and six bedrooms, which will eventually house about 50 workers.

Built in Invercargill and trucked to the site, the first homes have already been fitted out and connected to utilities.