Developer's lawyer states case for 18 townhouses to be built in central Wodonga

A lawyer for Alatalo Bros, Greg Tobin, made the claim to a VCAT hearing into an appeal by nearby residents against a plan for 18 townhouses on church land between Havelock Street and Ethel Lane.

The church has engaged the Wodonga building firm to reconfigure the land which faces the city's civic centre.

"It's an extraordinary offer this site gives in relation to amenity and it is currently, we would say, undeveloped or underdeveloped," Mr Tobin told VCAT senior member Geoffrey Code.

"This will deliver high quality, generous medium density housing."

Wodonga Lutheran parish vice chairman and redevelopment committee chairman Tim McInnes told the hearing the catalyst for the project was high running costs for the site which has a church, office and op shop.

"The arrangement is the profits will come to the church and this would enable us to redevelop the church and office complex at Victory College (in west Wodonga)," Mr McInnes said.

He said the op shop was in a "very poor state" and putting more cash into it would be "like pouring money down a black hole".

Mr Tobin said the development met Wodonga Council's housing strategy which sought more diverse homes and was an example of "common sense urban consolidation" with 6000 square metres on the edge of the CBD being used for residential infill.

He said it was not out of character with the neighbourhood which he described as having an "eclectic" housing style.

Earlier EDM Group planning manager Peter O'Dwyer, on behalf of 10 neighbours, requested that council approval be overturned and the permit for the work refused.

They have appealed on aspects such as traffic, neighbourhood character, heritage and housing strategy.

Mr Code, who spent two days hearing submissions at Wodonga court house, reserved his decision.