Sutherland Shire Local Planning Panel has reservations about the proposed new development on the edge of Monro Park at Cronulla despite recommending it proceed to the next planning stage.
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In a majority decision (three votes to one), the panel recommended Sutherland Shire Council send the Sammut Developments proposal to the state government for Gateway determination.
The council is expected to consider the matter at its June meeting.
The panel said, overall, it saw strategic merit in proceeding with the Planning Proposal at this point in time as it facilitated a much needed commercial, non-residential development for the Cronulla Centre very close to the train station.
However, it added a number of "comments and observations".
They included that the site was "partially inconsistent" with the wider precinct in which it was situated, which was governed by the 2015 development control plan (DCP).
"There would be greater and more rational strategic merit in undertaking a review of the precinct, if not the B3 zone, if not the street block," the panel said.
"This may give rise to a different massing outcome and amalgamation pattern, noting the site's sensitive interface with a park to the south.
"Despite the above, the panel conceptually supports employment uses at the site, given its location in relation to a Local Centre and a metropolitan train station (and likely reduced sensitivities across the northern side boundary arising from the proposed use)."
Sammut Developments scrapped the original proposal, which included a 14-storey tower and substituted plans for a development with a maximum height of seven storeys.
It would include a two storey podium containing food and beverage premises with commercial office uses, including shared co-working space, above.
An increase in floor space ratio (FSR) is sought in the Planning Proposal.
Peter Flynn, the community representative on the panel, cast the dissenting vote.
Mr Flynn, who also voted against the initial plans, said he considered the new proposal would also create "a higher density spatial anomaly in the Cronulla business centre".
"This may have the effect of creating a precedent for other sites to argue for similar treatment," he said.
"It may also potentially suppress the redevelopment of the remaining sites in the precinct.
"This is not considered to be promoting the orderly and economic use and development of land in the precinct.
"The site has a certain uniqueness given its location next to the station, Monro Park, southern entrance to the mall and a major pedestrian beach access route.
"This uniqueness demands a high level of detailed site design preferably coordinated with the rest of the precinct."
Mr Flynn also said the COVID-19 pandemic could result in "a paradigm shift in the design and usage of the urban environment", with changes in building design and "a renewed community emphasis on the importance of plentiful sunlight and natural ventilation and the protection of public spaces".
