The proposed development is for the land opposite the end of Merimbula Airport on Arthur Kaine Dr which was purchased in June 2021 for $2.5m.

The land is a vacant site of 1.03ha or 2.54 acres zoned R3, medium density residential and has been purchased by Canberra-based developer Prasun Banerjee through his company SHC MU3 Pty Ltd.

The proposed development of 59 homes is made up of 27 townhouses and 32 apartments divided into three areas or blocks.

Block A is a row of 14, single storey townhouses facing north west towards Arthur Kaine Dr with views to the lake. Each townhouse is three-bedroom with two bathrooms and a garage at the rear.

Behind this block, block B is a row of thirteen, single storey townhouses that overlook Block A. These townhouses are also three-bedroom with a garage underneath the townhouse.

The third block is a three-storey apartment block located behind block B. The block will include 12 single-bedroom plus study apartments, 12, two-bedroom apartments, four two-bedroom apartments; and four three-bedroom, two storey, apartments with underground parking.

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Access to all blocks is proposed to be from Ocean Drive.

The accompanying arborists report recommends the removal of 37 trees on the site, that 14 other trees be considered for retention and that five be retained.

However the site is subject to NSW biodiversity mapping which identifies areas sensitive to vegetation clearing. This can result in the developer having to pay for the biodiversity credits that have been identified, or providing an alternative piece of land with similar flora and fauna, as a biodiversity offset.

In the same way that the Club Sapphire development sought to have a variation to current planning rules, and was successful, this development on Arthur Kaine Dr also seeks to do so.

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The developer has requested changes to the minimum density rules, something that council is actively promoting in order to see more housing in the area.

Mr Banerjee also wants to see the 10m height limit extended to 11m for the apartment block and points out that a three-storey building currently exists on the adjacent block.

On the SHC website, the coastal development - named Santorini - is already being spruiked as a "premium residential project located at South Coast, NSW, next to an aerial photo of the Merimbula bar and lakes.

Council has the development on exhibition until Friday, September 3.

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