Police are refusing to provide further details on the circumstances or potential motive behind $750,000 of damage to houses at the yet to be completed Five Mile Villas project.

Several new homes at a Queenstown development suffered water damage during a break-in that caused $750,000 dollars worth of damage.

Police national communications won't confirm a statement attributed to Queenstown police referencing taps in the properties being deliberately turned on.

RNZ understands the affected properties are new builds at the Five Mile Villas which have not been handed over to their new owners.

Commercial dehumidifiers were visible in the windows of at least eight homes on Thursday morning.

Police described the break-in as "burglary and wilful damage" but would not confirm any further details.

Detective Senior Sergeant Regan Boucher said the damage was significant and police wanted to hear from anyone in the area who had CCTV or dashcam footage.

"Initial indications suggest there has been in excess of $750,000 worth of damage during the incident," Boucher said.

"Police are making inquiries to identify and locate those responsible."