An early learning centre will be built on the site of a disused Anglican Church despite fierce opposition from a community group.
St Luke's Church in Deakin has been dormant for a decade on piece of land bound by Newdegate Street and Macartney Crescent.
Following a decision from the ACT Civil and Administrative Tribunal, the site will be developed into an early learning centre for up to 115 children and two double-storey townhouses for staff of the Anglican Diocese of Canberra and Goulburn.
A development application was initially approved in September 2022, but the Deakin Residents Association mounted an appeal in the tribunal over concerns there was not enough parking for staff in the surrounding residential streets.
Deakin Residents Association president John Bell said the design was "appalling" and did not comply with guidelines which require bus stops within 200 metres of early learning centres. He said residents did not like a wall near the boundary of the property.
"It's like a factory facade. So we're unhappy with the design. It doesn't meet the rules," Dr Bell said.
"We were disappointed. We think that the tribunal got it wrong on a number quite important issues."
Dr Bell said there were other childcare centres opening in Deakin. He said residents were considering whether to appeal the decision in the Supreme Court.
Colliers national director project leaders Iain Davidson, who are the project managers for the Anglican Church Property Trust, said construction would likely begin next year.
"We are pleased with the outcome. From the outset, all our intention was for the project to be fully compliant and meet all the planning requirements," Mr Davidson.
The location of the new early learning centre is zoned for community facilities, which includes childcare. Mr Davidson said analysis conducted before the plans were developed showed there was a high demand for childcare in Canberra, especially inner suburbs.
"With government policy increasing the childcare subsidy, that obviously stimulates further demand," he said.
"So, all the findings across those across the assessments that were conducted by the Anglican diocese showed that the demand is there now and into the future."
The tribunal approved the development with some conditions, including that the design is changed so it appears to be a series of three separate buildings and include extra trees and hedging.
Mr Davidson said the onsite parking complied with ACT government regulations from the outset. Conditions from the tribunal state that this parking is to be for 15-minute drop off and pick up of children.
The appeal has set back the timeline of the development back by about a year. Mr Davidson said contract negotiations were continuing with preferred builder Monarch Building Solutions.
Bishop Mark Short welcomed the outcome of the tribunal review and decision.
"The ACAT decision confirms and demonstrates that the project is compliant with all planning requirements," Bishop Short said.
"We look forward to moving forward with the project and commencing construction next year, with an opening date target of 2025."
The Anglican Diocese has also just completed construction of another early learning centre in Chapman, which is scheduled to open in January 2024 under the name St Luke's Early Learning community.