Instead, the Department of Planning will review Landcom's application for the development at 73-75 Westbourne Avenue.

Residents and the council have lodged official submissions strongly opposing the units.

Cr Michael Banasik said Thirlmere was not an appropriate location for the development due to the lack of infrastructure.

``When the Department of Housing first put the plans in they thought Thirlmere had a train service and they had Granville buses in the plans,'' he said. ``But there is no train service and the bus timetable is limited. Thirlmere doesn't have the public transport or health facilities to support this.''

Thirlmere resident Matt Anderson said he was not against public housing but was concerned with the size and density of it.

``There is no other development like this in Thirlmere,'' he said.

``We are concerned about our privacy, overshadowing, noise and rubbish.

``You can imagine how many bins will be needed for 22 units.''

Wollondilly MP Phil Costa said he had been negotiating with the department to change the application. ``I have some real big concerns with the design of the development and there's not enough parking,'' he said.

``The problem is that we have plenty of housing stock in Picton and Tahmoor but none in Thirlmere so the argument to move the development was difficult.

``I am planning to meet with the mayor and the department of planning about the application.''

Mr Anderson said: ``Most people in Thirlmere rely on cars ... there are no trains unless you want to wait for a steam train.''