Kiama Municipal Council has rejected a proposed rezoning of west Kiama.
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Councillors voted unanimously to not support the planning proposal for Springside Hill, in its meeting on Tuesday, April 16.
The proposed rezoning of 114 hectares of rural land by Traders in Purple would have led to more than 1000 new homes being built.
It wasn't just the councillors against the plan, but residents, too, with a 642-strong petition against the application.
Mayor Neil Reilly said the response was important to recognise.
"I think it was a wonderful thing," Mayor Reilly said.
"People are pretty quick to criticise council for one reason or another. and generally speaking ... some of them use their own names and some of them use other names.
"When you see 600 names on a piece of paper it's really and truly time to take notice," Mayor Reilly said.
"I think council and the legislation regarding planning is on the side of those 600 people-plus."
The master plan for the site promised new dwellings in a range of housing styles and land was to beset aside for schools and churches.
The site concerned is 1.7 kilometres west of Kiama station and was to directly adjoin a residential area to the east.
Deputy Mayor Councillor Imogen Draisma said concerns raised by the local community had been echoed by various state government departments.
"A number of questions still remain and given the size and the scope of the proposal," Cr Draisma said.
"I cannot in good faith as a councillor support the merit of this proposal at this point in time."
Cr Kathy Rice said she understood the community expects council to progress through its regular planning processes, but could not support the planning proposal.
"As this site hadn't been identified in any of council's planning documents, I think it is prudent that we let it go for the time being until we have got our housing and growth strategy in front of us," Cr Rice said.
Cr Jodi Keast said the response from the community was "remarkable".
"I did my numbers and it's over three per cent of our community within the space of a week to actually use their voice and their signature to send council a message," Cr Keast said.