Council rejects controversial Bendgio housing development for sacrificing neighbourhood liveability ‘for profit’

A contentious Bendigo housing development has been shot down for sacrificing neighbourhood liveability at the expense of residents to “leverage profit”.

An artists rendering of the rejected townhouse proposal at Lilac St, Ironbark in Bendigo. Picture: Supplied.

A controversial Bendigo housing development has been shot down by councillors for sacrificing neighbourhood liveability to “leverage profit”.

Nine new two-storey townhouses were proposed for Lilac St, Ironbark by Property developer Virtue Eco Living with the existing five bedroom home bulldozed.

However councillors unanimously refused the development on Monday night after concerns were raised the project would come at the cost of residents.

The proposal was met with several objections by nearby residents, raising concerns about overdevelopment, neighbourhood character, and potential environmental impacts.

Neighbours are also concerned the development would create traffic chaos, and Lilac St couldn’t support the increased street parking and cars driving around.

A controversial Bendigo housing development on Lilac St, Ironbark has been rejected. Picture: Supplied.

Lilac Street is currently operating as basically a one-way street, they say, due to cars parking on both sides of the road meaning only single vehicles can pass in one direction at a time.

Despite being “technically” compliant, Cr David Fagg said the development “contravened” the neighbourhood character and was an overdevelopment of the site.

Cr Fagg said the developer had “played just within the lines in almost every conceivable way” to bring the project up to the bare minimum standard for approval within council’s planning policy, but it wasn’t good enough.

Council planners recommended approval, finding the road would be able to absorb the increase in cars and the build would fit with a new proposed policy for infill development.

“There is no doubt that the proposal seeks to dramatically increase the number of people occupying this site,” planner Penny Loader said.

Council is now pushing for 70 per cent of urban development to occur in existing established areas with the remaining 30 per cent in growth areas such as Marong, Maiden Gully, Strathfieldsaye, and Huntly.

Councillors rejected the Lilac St proposal unanimously. Picture: Supplied.

At Monday’s meeting council approved the draft Growth Management Strategy for homes over the next 30 years across Bendigo – with a focus on infill development.

Council strategy and growth director Rachel Lee said the policy was designed to halt urban sprawl by encouraging infill development of as units, townhouses, and some multistorey developments in urban areas close to services.

“Residents should be aware that it is not a long-term solution to continually expand the Urban Growth Boundary,” she said.

“The focus will be to develop within existing areas in the future to ensure additional and diverse housing can be delivered to meet changing household needs.”

Cr Julie Sloan said the Lilac St site was an example of an ideal in-fill development and aligned with the growth strategy, but the proposed plans were a “poor design outcome” for residents and “just enough isn’t good enough”.

Cr Jennifer Alden said the “underlying issues” with the development were reflected in the attitude of the developer, who stated the project would only proceed if all nine townhouses were approved.

“We’ve been hearing this increasingly, it sounds like an excuse being made to provide poor amenity to residents and adverse outcomes for liveability for all in the neighbourhood to leverage profit,” she said.

Cr Alden said it was “back to the drawing board” for the developer.

Bendigo council estimates 38,000 new homes will be needed to accommodate 87,000 more residents by 2056.