The proposed 895-house development Stratheden will still need the approval of the Department of Planning, Industry and Environment (DPIE), but if given the green light it could help solve the city's housing crisis.

Cr Juanita Wilson said she's particularly pleased the development is going ahead.

"In the past a lot of us councillors have had to approve developments we thought inaccurate, less than sufficient and of poor design," she said.

"Sound, smart, urban planning is one of the best legacies a council can leave." Most of the land at the corner of Manilla Road and Browns Lane is used as a horse breeding facility by local stud Stratheden.

Cr Mark Rodda spoke against the motion at Tuesday night's meeting and asked whether the decision should be deferred for a new council given it is in caretaker mode.

Liveable communities director Gina Vereker said the review has started and she hopes by the middle of next year it will be ready to go out to the public.

Read also:

"There is work being undertaken at the moment - in terms of the Stratheden proposal it was mentioned in Blueprint in 2019, so it's not something new," she said.

"I think it's important we deal with it now and start looking at it now because of the housing issues we have - Arcadia isn't going to fill all the gaps."

Cr Glenn Inglis said there's a significant debate around Australia at the present about housing affordability, interest rates and demand.

"For me it's about supply. Supply is the principle issue, it's economics 101," she said.

Our journalists work hard to provide local, up-to-date news to the community. This is how you can continue to access our trusted content: