A housing estate with more than 200 properties is planned for north Orange near the Bunnings store and Charles Sturt University sites.
A development application to subdivide farmland off Leeds Parade into 211 residential lots, three public reserves, a future neighbourhood centre and new roads has been lodged with Orange City Council.
The 58 hectare estate is the first of three stages planned for the area next to an existing estate on Miriam Drive, near Leeds Parade.
Future development would also involve land closer to Ophir Road.
Three native trees would need to be removed from the land which was settled in the mid-1800s and is now used for grazing cattle.
The DA said levels of arsenic had been found in an area of the site and would need to be removed.
"The source of the arsenic is not known," it said.
The DA also said the council's waste management and sewage treatment plant plus the Narrambla industrial estate were located south of the site but with a buffer zone of land between them would not pose an obstacle to the land being developed for residential use.
It said the site did not have any heritage or Aboriginal archaeological value.
It said a "small scale retail" area might be built in the area to serve the needs of nearby residents.
The minimum size of each lot will be 500 square metres to fit with planning controls.
The DA states the three trees needed to be removed as they were in the way of the development.
"Retention of these trees is not possible due to the development layout. In effect each tree consumes a proposed lot," it said.
The DA states the extra houses will increase traffic in the area.
"The 211 residential lots proposed by this application has the potential to generate 1561 daily vehicle trips and 150 to 165 weekday peak hour vehicle trips," it said.
The DA said the development would benefit Orange by providing more housing.
The DA is on public exhibition at council until Friday January 29.
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