THE region's developers are shifting their business models to ensure a diversity of housing supply, as the needs of residents change.
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Urban Development Institute of Australia director Damien Tangey says there had been a move away from traditional three and four-bedroom houses to reflect a changing market.
Mr Tangey said a consistency of housing supply and affordable prices were vital for the future of Bendigo.
He has also recommended an auditory process to ensure enough housing options are available in the region in coming years.
His comments follow the release of the City of Greater Bendigo's draft Residential Development Strategy, which outlines strategies to deal with Bendigo's burgeoning population growth.
It was released for public comment on Wednesday night. It focuses on a shift towards high-density living, with surrounding forests constricting growth options in the region.
The strategy indicates a need for high density living due to lack of room to move outside the Urban Growth Boundary.
However Mr Tangey said there were definite opportunities for green field growth in Bendigo.
He said he saw a future mix of inner urban development and green field subdivision.
"Developers are changing our business package slightly to increase diversity and move away from the traditional model of three and four-bedroom houses," he said.
"At the end of the day, I don't think it's about a particular area of growth but rather this diversity."
In other council news, councillors have agreed to scrap paid parking at the Bendigo Hospital precinct, however time restrictions will continue to be heavily enforced.
They voted to amend the start time of restricted bays around the block from 9am to 7am. Construction workers will also be encouraged to park off-site to free up patient parking.
Councillors also refused a telecommunications facility in Epsom, despite a council officer recommendation to approve the tower.
Without a written assurance from Telstra, councillors were not willing to approve the facility at Maynard Drive, with most agreeing it was too close to schools and community facilities.