A controversial housing development at South Kiama is a step closer after the state government approved the rezoning.
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The South Kiama Planning Proposal involves a large parcel of land west of the Princes Highway, with capacity for more than 400 homes.
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Kiama Municipal Council and the community were both opposed to the possible development, fearing it would put pressure on the town's infrastructure.
The Planning and Environment department's Executive Director of Local and Regional Planning, Malcolm McDonald said the site would help council "provide a range of housing options".
"Independent expert advice found the proposal should be supported and could lead to much-needed and well-located housing for the region," Mr McDonald said.
Kiama Deputy Mayor Imogen Draisma said it was "very disappointing news".
"We will examine the detail of the independent review and continue to put pressure on the state government to deliver solutions on the issues raised by the community, specifically local roads and the Princes Motorway," Cr Draisma said.
Kiama Precinct chair Mark Greaves had also been campaigning against the proposal.
"There are a lot of people here that are disappointed about this obviously, because a lot of people put a lot of time into pointing out the folly of this particular development," Mr Greaves said.
"But it doesn't come as any surprise. Just the sheer fact it's taken so long and been so drawn out meant that it was always going to be handed down in favour of the rezoning."
We understand that we need to play our part in regional housing, in state housing, we understand that. But this is the wrong block of land, it's as simple as that.
The decision does not mean construction on the subdivision can start, it just changes the zoning to allow for it.
A site-specific development control plan (DCP) needs to be created and then a development application for any buildings must be lodged with council.
Mr Greaves said the community opposition was not "a NIMBY thing".
"This is not people in Kiama saying we don't want any development here but we're quite happy to see it up at Shellharbour or at Albion Park or Bomaderry or wherever," he said.
"We understand that we need to play our part in regional housing, in state housing, we understand that. But this is the wrong block of land, it's as simple as that."
Kiama MP Gareth Ward said the rezoning decision treated the community "with nothing but contempt".
"The minister never even bothered to visit the site nor attempt to understand the concerns of local residents," Mr Ward said.
"If the government thinks that this is the last they are going to hear about this decision, they're mistaken."
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