Here is a short account of what can be seen and done in a short 3 day stay in the Queenstown area.
The main attractions of the area other than Queenstown are the townships of Glenorchy, Arrowtown, Milford and Doubtful Sounds, the Mount Aspiring National Park, three main rivers, and the Lake Wakatipu itself.
As the area is in the mountains it is very much at the mercy of the weather. Therefore it is suggested that you prioritise the activities that you want to do. If any of the activities include flying, then there are the trips that you plan your stay around. If the weather is fine and good for flying to Milford Sound etc, do that first. Everything else can be done, irrespective of the weather.
On your first day you might like to have a slow day and recover from the long drive or flight to Queenstown.
A suggestion would be a trip to Arrowtown. Arrowtown is a charming village born in the 1860's gold rush period. It makes for an interesting and relaxing ½ day trip for some easy window shopping, and a very interesting Museum (the most visited activity in the valley) gentle walks can include the Art galleries.

Have lunch in Arrowtown or at the many wineries in the Gibbston valley.
In the afternoon, drive past Lake Hayes, one of New Zealand’s most photographed lakes. And aim for the 2pm Walter Peak Farm Excursion (including a cruise on the vintage steamship TSS Earnslaw). This goes across the lake to Walter Peak High Country Farm on the other side. This will show you how steep our Mountains are and give you a informal look into New Zealands sheep farming.
You will return to Queenstown at 5.30pm. Take a gentle walk up the hill to the Skyline Gondola. Take the trip up to see the magnificent views, especially if the sun is setting. If you are interested, there is a very good Maori cultural show up there. Have dinner in Queenstown - there's a huge range of restaurants.
Second Day - Glenorchy or Milford or Doubtful Sounds With a early start, head off to do either of the Fiordland Sounds. Milford Sound can be done in a little over half a day by flying. Check out the difference between the two Sounds. If you include a Jetboat ride on the Dart river with your flight to Milford and back again, you would get to see the Alps from above as well as below. This will be a experience of a life time. If the weather won’t allow you to fly. Drive or bus to the Sounds either way you do it, they are best in a storm
Glenorchy is at the head of Lake Wakatipu and the entrance to the area is called 'Paradise'. Here you have wonderful walks and jetboat rides in magnificent scenery. A good place for fishing. A good day trip. A drive to Glenorchy takes 45 minutes and is well worth it, just for the scenery. Have dinner in Glenorchy, no need to rush back to Queenstown. The GC (Glenorchy Cafe) has great food!
Third Day - Skippers Canyon - An exciting excursion by four wheel drive into the remote and dramatic upper reaches of the Shotover river, and the ghost town of 'Skippers'. Bungy jumping and white-water rafting has lately made the Shotover river famous again. For those that like adventure try a multi package trip including white water rafting, jet boating the Shotover river, a helicopter ride, followed by a bungy jump. This will take all day. For those not so energetic, a trip into the Skippers Canyon by a guided four wheel drive tour can be just as good. See some amazing scenery and experience a little of NZ's Gold mining history. View this page for the options open to you.

In the afternoon a jet boat ride on the Shotover or the Kawarau River.
Finish the day with a evening meal and walk at Arrowtown.
Briefly you may be able to fit in some short walks, golf or a horse ride as well.
Golf: Queenstown has a choice of 6 courses including the international course of Millbrook Resort, and the world famous Kelvin Heights (Queenstown Golf Club).
Horse riding options: Available for all abilities. The Shotover stables is the closest to Queenstown, Moonlight Stables is at the Arrow Junction, Ben Lomond Station Horse Trekking is 12 - 15 minutes west towards Glenorchy at Moke Lake. Dart Stables are at Glenorchy. Walter Peak Horse Treks is held across the lake, including a cruise on board the TSS Earnslaw.
Queenstown Scenic Flights: Breath taking flights can be taken over snowy mountains, rivers, waterfalls, glaciers and fiords. This is often said to be the highlight of the holiday by guests.
For the kids:
Unfortunately Deer park heights is now closed - indefinitely.
Kiwi bird house This can be found just below the Skyline gondola. The children can see not only the Kiwis, but the native Lizards, Mountain Parrots, NZs falcons and Hawks, lots of water fowl and fish. There is also a very interesting display with NZs Wood Pigeons. This is another activity that will take a couple of hours.
The luge can be found above the Skyline Restaurant. This is lots of fun, and even Mum and Dad can do it.
TSS Earnslaw Cruise & Walter Peak High Country Farm has a range of activities that kids just love. The farm tour includes feeding the animals, watching the farmer round up the sheep using the working dogs and shear a sheep.