Newcastle Basketball's proposed stadium at Hillsborough has been unanimously refused by the Hunter and Central Coast Regional Planning Panel.
The four person panel said the Hillsborough Road site was not suitable for the "scale and intensity" of the proposed 10-court facility, which the NSW government committed $25 million to.
The decision came after residents spoke vehemently against the project due to traffic, parking and other factors in a panel meeting on Thursday. In its determination, the panel said it was not satisfied that access to the proposed site was suitable.
Transport for NSW had said it wanted all access to be via Waratah Avenue, but the panel did not support this due to "unreasonable impacts" it would have on the surrounding residential area.
The panel also pointed out the area was not well serviced by public transport and the pedestrian and cycle network near the site is limited.
A lack of detail about events "which are understood to be a fundamental and integral aspect of the proposal" was another factor, as well as removal of "high-quality" trees on adjoining properties - a sign of "over development" of the site. The site is also constrained by bushfire and ecological considerations, the panel said.
Residents Mark and Marcia Spitzkowsky said they were "overjoyed" community concerns had been heard.
"It's been a real team effort," Mr Spitzkowsky said.
Lake Macquarie council had endorsed the proposal for approval, which the pair said had them worried.
"We were prepared to fail on this," Mr Spitzkowsky said.
But residents said they were disappointed for basketballers, and hope the association can find a suitable location.
"What a shame council didn't listen to residents and other governing bodies, as we have been voicing our concerns since 2019," resident Doug Read said.
Former councillor Barney Langford said he saw the refusal as a "positive" as it offered the chance for all parties to focus on building the stadium at Glendale, which Newcastle Basketball said it was investigating. Newcastle Basketball did not respond to a request for comment.
