DEVELOPERS want to build a 52-lot housing development in Heathcote which could supply nearly a quarter of the town's future needs.
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The City of Greater Bendigo is considering the subdivision in Caldwell Street.
Heathcote needs 224 new dwellings by 2036 if it is to account for a growing population, the council estimated in 2019.
An extra 272 people are expected to live there by then.
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Developers have dreamed of a large-scale subdivision at the land in Caldwell Street before.
The council previously approved an 89-lot subdivision in 2014 but those plans did not turn into housing.
Developers have told council that parts of the land could be inundated by the nearby McIvor Creek during a one in 100 year flood.
They want to incorporate an "extended road reserve" into the latest plans and have set aside corner of Caldwell and Chauncey Street in part to make sure water has space to run.
The developers have also told the council they would try to minimise the amount of trees that would have to be cut down on the site.
They would, however, have to remove four large trees in various parts of the site, as well as a number of smaller ones.
The developers told city planners they would offset lost vegetation with plantings within the council's boundaries, or those of the North Central Catchment Management Authority.
The average lot would be 839 square metres, but some would be as small as 568 and others as large as 4802.
The Heathcote proposal is not the only one the Bendigo council is actively considering at the moment.
Town planners are assessing the merits of two other major subdivisions lodges with the council's planning department in the past month.
One is in East Bendigo, where a developer wants to turn vacant Murphy Street land into 20 industrial-sized blocks.
The other is in Maiden Gully, where a developer wants to build 61 houses across the road from the suburb's business centre.
A third development group previously lodged an application for a 44-lot subdivision close by, which the council is yet to rule on.
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