The owner of one of the Lower Hunter's most contentious parcels of land - 505 Minmi Road, Fletcher - has again ruled out selling it to the state government for use as a national park.
It follows a new 24-page City of Newcastle planning report that slams an amended residential plan for the 26 hectare parcel of native bushland.
As if to reinforce their criticism, planning staff questioned whether there was any strategic merit in the site's development.
The site was first identified as being potentially suitable for housing in the early 2000s. But it has since become a battlefront between those seeking to preserve the region's biodiversity and those pushing to open up more land for housing.
Kingston Property, owned by Peter Durbin, has refused to give up on plans to subdivide and develop the land, despite four council rejections in the past decade.
But, in a rare win, the Joint Regional Planning Panel (JRPP) allowed the project to be assessed under the State Government's Gateway rezoning process in late 2021.
Kingston Property's latest planning proposal is for up to 170 residential lots, a figure which exceeds the current infrastructure plan for the area by 60 dwellings.
Among a raft of recommendations, the council officers suggested Kingston Property consider allowing the land to be acquired as part of the state's National Park Estate.
Mr Durbin rejected a similar proposal, put by the National Parks and Wildlife Service, in 2021.
He told the Newcastle Herald this week that, while he had not been formally approached with another offer, he was not interested in selling the land.
The matter is expected to be the subject of a City of Newcastle Notice of Motion later this month.
Newcastle Ward 4 councillor Elizabeth Adamczyk said the bushland was critical to the establishment of the Lower Hunter Green Corridor project that links the Watagans and Port Stephens.
"The land is currently zoned for environmental conservation, and in my view, should remain that way," she said.
"As an elected council, we continue our advocacy to the NSW Government for this site to be acquired for inclusion into the neighbouring national park estate.
"That's a prudent solution to protect the Green Corridor and the interest of the landowners, rather than continuing to pursue a highly speculative and damaging rezoning."
Green Corridor Coalition spokesman Brian Purdue, said the site should not be considered for rezoning until all of the zoned parcels of land had been developed.
"Virtually everyone now agrees that this last 26 hectares of unzoned residential native bushland is a very important wildlife corridor, it's absolutely reasonable to put the rezoning on the "backburner" until the zoned land is wall-to-wall housing," he said.
"You can then bet even the most pro-development person would not say, let's develop it too - there would be a lynching."
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