Mungabareena Reserve and Doctors Point Road are being torn up by hoons sometimes for hours at a time, according to a concerned resident.
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An Albury woman, who did not wish to be named for fear of reprisals, believes urgent action needs to be taken to protect the reserve.
"You would not believe it, all the green space at Mungabareena and behind the toilets near that loop of the road smells like a pigsty because of all the mud that's been ripped up," she said.
"The toilets are splattered with mud where they've just hooned around and sprayed mud everywhere.
"It's a quagmire.
"They're absolutely tearing it up and it can go for three or four hours.
"It might be 10pm you'll hear them for a couple hours and then at 2am another lot will go down there."
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Murray River Highway Patrol Inspector Scott Trewhella said two offenders had recently been intercepted in the Mungabareena area.
"Any concerns raised with the police to do with traffic is something that we do take seriously," he said.
"The big thing is that we'd encourage people to report it to us through crime stoppers or through the police station.
"If they can give us particular times or vehicle registrations, the assurance I can give them is that it will be tasked to the local highway patrol for follow up."
The Albury resident said an elderly neighbour, who lives in Kookaburra Way, had become frightened by the aggressive driving and excessive noise.
"We've called the police up to around 40 times but not once have seen a car go down there or seen anything that would indicate they've taken action," the resident said.
"I'm just so frustrated.
"We get so infuriated by it when we're lying in bed at night and we can't get to sleep and I just have to think, how much worse is it going to get?
"This is by far the worst we've seen Mungabareena, so where does it end and what do we have to do to get council and the police to do something?"
Another resident, who wished to be identified only as Adrian, said he could hear the hoons from his "Old East Albury" house.
"It's just kids in four-wheel-drives, always P-platers, out there in their big stupid cars tearing it up," he said.
"There's a centre part of the reserve, just off that little lake area, which has just been torn to pieces with rubbish and mattresses everywhere. .
"It's just useless.
"It doesn't serve any purpose.
"It's just a ridiculous thing to do."
Albury mayor Kevin Mack said council have been working closely with police, the state government and other members of the community to stop hooning at Mungabareena Reserve.