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Township 40 km south-west of Christchurch. In the early 1870s a town was laid out just south of the Selwyn River, but when a railway station was built 5 km south in 1874, Dunsandel developed there instead. It is the main rural service town between Christchurch and Rakaia.

Meaning of place name
The sheep station was owned by Robert Daly, an absentee landowner who never visited New Zealand. Daly was the son of the first Lord Daly of Dunsandel and father of the last. J.R. Godley's mother was a Miss Daly and this is probably why Daly invested in land in Canterbury.