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A long-running development saga at The Hill has hit another setback after an application to modify approved plans was rejected and a geotechnical report cited evidence of soil instability and failing retaining walls.
The site at 20A Hillview Crescent has been plagued with issues after the former owner and builder attached a wall to a neighbouring home in 2019 and completed unauthorised excavations.
Neighbour Judy Tynan spent more than $80,000 fighting to get the wall removed, saying it has caused ongoing flooding in her garage, while other neighbours raised concerns about soil erosion.
City of Newcastle issued multiple development correction orders to remove the wall but did not enforce them, later declaring it was "not in the public interest" for the council to take further action on the matter.
A geotechnical report completed in September 2023 said there was evidence of soil instability and damage to/failure of existing retaining walls.
"Both the risk to property and life were above acceptable limits and therefore the development is not suitable for construction based on the current design," the Hunter Civilab report said.
Ms Tynan said the report "makes for really concerning reading".
"Not only for me but for the whole neighbourhood," she said.
"I feel for the new owners [of 20A] because they're going to have to manage that."
An application was lodged with City of Newcastle in November 2023 to modify the previously approved plans to erect two attached three-storey dwellings, associated retaining walls, site works and subdivide one lot into two.
The modification proposed increased height and floor space ratios, replacement of failing retaining walls, demolition of previously built structures and altered floor plans.
The modified plans attracted objections from five neighbours, who argued the proposal significantly differed from the development in its approved form, and raised concerns about the retaining walls, drainage, privacy, solar access and shadowing.
City of Newcastle agreed that the proposal varied too much from the approved development, and asked the applicant to withdraw the application in December 2023.
The council formally refused the application on January 29, 2024.
The council's reasons for refusal included the height, bulk, scale, setback and visual appearance impacts of the proposed development being "unreasonable", inadequate details submitted about demolition, overshadowing, earthworks, retaining walls, subdivision plans, proposed floor space ratio, view impacts and survey plans.
The property owner did not respond to the Herald's request for comment.