Farm system and nutrient budget models are increasingly being used to inform and evaluate policy options on the impacts of land use change on regional environmental and economic performance. In this study, the common approach of up-scaling representative farm systems to a regional scale, with a limited input of resource information, was compared with a new approach that links a geospatial land resource information data base (NZLRI, Agribase™) that includes independent estimates of the productive capacity of land parcels, with individual farm-scale simulation (Farmax® Pro and Farmax® Dairy Pro) and nutrient budgeting models (Overseer®). The Southland region of New Zealand, which is currently undergoing enormous land use change, was used as a case study. Model outputs from the new approach showed increased profit of about 75% for the region if the current land area under dairying increases from 16% to 45%, with the shift to dairy constrained to high pasture production classes only. Environmental impacts associated with the change were substantial, with nitrate leaching estimated to increase by 35% and greenhouse gas emissions by 25%. Up-scaling of representative farm systems to the regional scale with limited input of resource information predicted lower potential regional profit and higher N leaching from dairy conversion. The new approach provides a farm scale framework that could easily be extended to include different systems, different levels of farming performance and the use of mitigation technologies.