Housing Plus will reduce the number of social and affordable houses at a planned development in Lantana Place, north Orange, after opposition from neighbours.
Housing Plus CEO David Fisher said it would cut the number from 14 to 10 after staff met residents on site on April 1.
Mr Fisher revealed the change on Tuesday when he announced Housing Plus would spend $30 million over the next three years to build 86 new homes in Orange.
That includes the Lantana Place development and a site on Forbes Road where 26 homes are planned.
Mr Fisher said they were looking at "a number of sites" in Orange for the remaining 50 homes.
Housing Plus will spend $75 million to provide 220 homes in Orange (86), Dubbo (87) and Bathurst (47).
"We are delighted to be delivering one of the largest social and affordable housing programs the Central West region has seen for many years," he said.
Mr Fisher said there was an acute shortage of affordable housing in the region.
He said a University of NSW report had shown 5500 new properties were needed across the region to meet expected population growth while social housing waiting lists were already 5-10 years.
Mr Fisher said Housing Plus had listened to concerns from neighbours at the two Orange sites.
LOCATION: The Housing Plus sites
"One of the pieces of feedback we got was to reduce the number of properties and we've tried to do that," he said.
"But that's got to be balanced by the commercial decisions we are making which is like any developer, there is a demand for housing and the less houses we provide on the sites means there is more people that go without having a home.
"Originally Forbes Road could accommodate up to 36 properties and it's likely the DA will go in for 26. So, we're trying to take account of residents' concerns as best we can.
"We've still got a few sites we're looking at to make up the numbers, we'll do that and follow the same process of consultation when we get to that stage.
"If there's things we can take account of, if it's of a design nature or it's possible, we would certainly listen to that and try to accommodate it as best we can."
Housing Plus project director Justin Cantelo said most of the homes would have one or two bedrooms.
"A significant proportion are ones and twos. I think out of the 86 we are delivering in Orange there are probably 10 which are threes and fours, the rest are ones and twos because that's where the demand is," he said.
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