The Central Otago District Council released the decision yesterday on Plan Change 13, a private plan change for rezoning requested by River Terrace Developments Ltd to build a large-scale development on the outskirts of the town.
The company behind the village yesterday said it plans to appeal the decision.
In a statement yesterday, Winton chief executive Chris Meehan said it was disappointed with the outcome, and people seeking to live in the Cromwell community who needed housing would be too.
River Terrace Developments Ltd is fully owned by Winton.
The town needed more quality and affordable housing, which was a view shared by the Southern District Health Board and Central Otago Mayor Tim Cadogan, he said.
Highlands Motorsport Park operations manager Josie Spillane had mixed feelings about the outcome.
Initially, she was relieved.
‘‘It’s fantastic that we’ve got a voice and that it’s being heard and the commissioners have agreed with the community, the expert evidence and the council, that this is an entirely incompatible use of the land.’’
She was also disappointed Winton wanted to appeal.
They were sentiments echoed by CODC deputy mayor Neil Gillespie.
He said there were concerns that ratepayers might foot some of the bill if Winton proceeded with an appeal in the Environment Court.
‘‘It would extend the uncertainty for the community. But that is the process.
‘‘There’s no real way around that ... it is the cost of the process that we have to accept.’’
In their decision, commissioners Gary Rae, Gavin Lister and David McMahon said the most compelling evidence they found was the site was not suitable for the ‘‘proposed purpose given the existing environmental conditions’’.
This was due to the location next to Highlands Motorsport Park, the Central Motor Speedway and horticultural activity.
‘‘In particular, the proposal will be subject to significant levels of noise from lawfully established horticultural and motorsport activities which constitutes a significant adverse effect in terms of nuisance and amenity.’’
The site was ‘‘poorly integrated’’ with the urban form of Cromwell, they said.
‘‘We have acknowledged above that the proposal has the ability to deliver demonstrable positive effects; however, these are not a panacea for the significant adverse effects arising.’’
The decision was made in early November, but the council had withheld the outcome from being released until the applicant paid $260,000 in processing fees.
-Additionally reported by Adam Burns