The former Maitland Building Supply building on the corner of Lawes and Williams streets will become home to Organic Feast when it relocates from Melbourne Street.

A housing development will be built on the adjoining 4381sqm site.

Oborn Professional Consulting Group director Graham Oborn said the project, combined with State Government and Maitland City Council improvements, marked a new chapter for the former hardware and joinery site.

“It’s a total revitalisation of that site, particularly with the organic supermarket moving into (the former hardware building),” he said.

“They’ve just put in traffic lights at that intersection (of Lawes and William streets) and an upgrade of the landscaping of Lawes Street itself.”

The plans were criticised when they came before Maitland City Council on June 24 because of the density of the project.

Residents objected to overshadowing caused by the two-storey design of two units on the King Street boundary, as well as loss of views.

The council deferred the matter to allow consultation between Mr Oborn and residents.

Modified plans approved this week included single-storey units on the fenceline with King Street, resulting in 13 two-storey units and four single-storey units.

All have two bedrooms.

A village green in the centre of the development will save its appearance from a “conglomerate of units”.

Mr Oborn said the development would be marketed to first homebuyers and retirees, with units available to both rent and buy.

“It wasn’t all that difficult to agree to the single storey,” Mr Oborn said.

“I could have stuck to my guns but probably having two additional single-storey units is more beneficial to accommodate more retirees.

“I went and spent quite a bit of time with the neighbours, so that’s been a good outcome.”

It was a sentiment that Cr Steve Procter, who pushed for the deferral, echoed at Tuesday’s council meeting.

But Cr Wendy White said she could not support 17 units on the site.

“I still feel it’s a massive overdevelopment in a heritage area,” she said.

“In any other part of the city, it would be good. Infill is the way to go.

“But in this area, 17 units is too much.”

Mr Oborn said he hoped construction would start in the first quarter of 2009.