Western Lake Mac suburb to get 1000 new apartments in housing shake up

Watagan Park, located in Cooranbong, will now include several four-to-six storey apartment buildings near the project's town square, taking the total project's total number houses to 2800.

The developer, Johnson Property Group, is yet to submit development applications for the department blocks, but council modelling estimates there will be about 475 one-to-two bedroom units and 515 three-bedroom units.

Lake Macquarie mayor Kay Fraser said the western side of the lake was one of the fastest growing areas in the Hunter region, and the zoning change was part of the council's desire to "infill" the region to keep its population close to services and infrastructure.

"We're already seeing units around our town centres in Charlestown, Warners Bay and Belmont ... but we can't just have high-density housing in one or two suburbs, we need it near our strategic growth centres," Cr Fraser said.

"So many people are moving to the western side, but we need a diversity of housing, because not everyone wants to live in the traditional five-bed two-bathroom house.

"They want a diverse range of housing options, so we're responding to the needs of our community."

The housing development includes a town centre with a shopping centre, anchored by Woolworths, and there are plans for a $9.6-million multiple-purpose sports facility.

JPG development director Bryan Garland said it made sense to increase the housing density near the shops, services, and bus routes.

"It opens up different pricing opportunities for people depending on where they are in life, and provides an additional product alongside the traditional land package," Mr Garland said.

"We've had plenty of inquiries as a result. We wouldn't have proposed it if there wasn't demand for that type of scale."

Council received dozens of submissions opposing the increase in density, raising concerns about increased traffic and a lack of local infrastructure, such as schools.

Several complained the proposal was inconsistent with the original vision put forward by the developer when they purchased land within the residential estate.

However, LMCC says the area had been identified as an urban release area since 2008 and the development was "growing and changing to reflect that identity".

"Any negative impact of the area proposed for buildings between four and six storeys will be mitigated by the surrounding green space," council documents stated.

"The green spine will help frame the town centre as a distinct area and provide a landscape buffer to the low scale housing."