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Kiama councillors knocked back the development application for a second medical centre in the area, planned for Gerringong.
All seven councillors unanimously rejected the application, after hearing from the developer, at a council meeting on Thursday night.
Councillor Matt Brown declared he could not be swayed to support the development.
“It’s not in the public interest,” he said.
“It would undermine viability of existing medical practices.
“It’s not easily-accessible to patients.”
Officially, the application was rejected due to zoning reasons; the land is zoned R3 for medium density housing such as town houses, villas and residential flats.
Earlier, the Shellharbour developer argued there was demand for more medical services in Gerringong.
“On our books in Shellharbour we have nearly 100 patients from Gerringong,” Dr George Albert said.
“At Shellharbour we have a 600sqm building but we have run out of room.”