The former Via Furniture site on Mundy Street is being demolished in preparation for the 26-unit project.

Worksafe recently halted the demolition due to minor issues with asbestos removal, but work is likely to recommence shortly.

Russell Parsons Builders and Designers spokeswoman Natalie Parsons said the development would be positive for Bendigo.

“We have a rough estimate of it being worth about $7 million,” she said.

“We think it’s a very positive thing and we’ve had good feedback from nearby residents and other residents in the town.

“It’s taking the CBD to the next level.”

The plans, which the City of Greater Bendigo are assessing, will see units built to a height of about 10 metres.

A cafe will also be installed on the ground level of the development. 

The company hopes to have the project, which has buildings up to three storeys tall, completed within two years.

“The council is a fair way into the planning process,” Ms Parsons said.

“It’s been through the advertising stage and the council is reviewing that along with any objections they have received.”

 Ms Parsons said the project was part of a wider trend to higher density living.

“There are a few other similar developments at the top end of View Street and near the Marketplace that have apartment style living,” she said.

“We see it as a positive thing.”

Several objections have been lodged over the plan, including one from Simon Perrin and Shelley Cohn.

Ms Cohn said several residents near the development were opposed to the project.

“Imagine have a three-storey building blocking off the view to the creek,” she said.

“It’s unbelievable and lots of residents are upset.”