A DECISION to rezone land at Boolaroo has made room for an extra 22 homes next door to an already approved residential estate called Weemala at the Lake.
Lake Macquarie council voted to rezone part of two blocks of land at Munibung Hill from environmental conservation land to low density residential.
The sites were remediated after the closure of the former Pasminco Smelter site.
The rezoning was initiated by the landowner, Green Capital, as a "logical extension" of their approved housing estate.
Tasmania Partners principal Andrew Plume, which is undertaking sales for Weemala, said it is "going gangbusters" at the moment.
"It's been absolutely amazing," he said.
"The turnaround in interest has been quite dramatic, the market has certainly picked up."
Mr Plume said they are in the process of selling Stage 8 of which more than 50 per cent has sold.
"We're seeing a lot of mums and dads, a lot of local people moving from from outlying suburbs to be closer to the lake," he said.
Mr Plume said at the moment there are 250 houses at the estate and another 30 going up.
He said the estate will be home to 680 houses in total.
As part of the rezoning maximum building heights were increased from 5.5m to 8.5m and the minimum lot size was changed from 40ha to 450m2.
A Lake Macquarie council spokesman said the land needed to be rezoned to allow for residential development.
"The rezoning has carefully considered relevant planning matters, and the recommended residential zone is suitable and appropriate as it is consistent with the broader strategic planning direction for the area," he said.
The rezoning is a small part of the council's place strategy for the North West Lake Macquarie Catalyst Area.
The strategy aims to guide the future growth of Teralba, Speers Point, Boolaroo, Cockle Creek, Argenton, Glendale and Cardiff.
The plan has the potential to attract 13,000 new residents to the area, unlocking 5200 homes and 3000 additional jobs.