A gondola and adventure park to rival those in Queenstown and Rotorua, is proposed for Nelson by the Nelson Cycle Lift Society.
A feasibility study is being carried out for a restaurant, café and bike hire business on council land above the city.
The park would have access to trails which could host national and international mountain bike events.
Nelson City Council has awarded $15,000 towards a feasibility study.
Mayor Aldo Miccio said the park would be a huge boost for the city's economy.