The state government's move to fast-track the rezoning of a 37-hectare site at Huntingfield for more than 450 affordable housing lots could occur in other parts of Tasmania, planning policy advocates say.
Using laws passed last year to deal with the housing crisis, only bordering residents were notified, the time to comment was reduced to 14 days, and the matter bypasses council and the Planning Commission.
The breakdown of public, community and private housing was unknown.
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The fast-tracked process only applied to government-owned land and would be developed privately.
The Huntingfield proposal, adjacent to the Southern Outlet, contains higher density housing with lot size limits and building height policies exempt.
Planning Matters Alliance Tasmania president Anne Harrison said the process sidelined communities and compromised the independence of the Planning Commission.
"Not enough is known, processes have been sidelined, and we're not looking at any proper strategic planning," she said.
"We're concerned about quality of life for everyone. It's the strategic planning which involves assessment of long-term implications of the wider community.
"We definitely want housing for all people, but not giving us bad planning at the same time.
"There's no requirement under the Huntingfield land release order for any percentage of social and affordable housing."
The Housing Land Supply Act 2018 was passed in response to a housing crisis summit last year.
The Huntingfield development would be among the largest of its types in Tasmania. It also borders two schools - St Aloysius Catholic College 5-10 campus and Tarremah Steiner School.
Neighbouring resident Matthew Jones said they were concerned about a lack of consultation, road access, housing density, agricultural significance of the land and environmental impacts.
"This was quite high density housing, not just social housing, but affordable housing, private dwellings," he said.
"Residents got frustrated and annoyed by the process. They feel like they've been locked out, they feel like they haven't been properly consulted.
"The state government is basically trying to sideline council, the Planning Commission and members of the public."
Kingborough Council has also raised concerns about the process.
Land release needed to provide more housing: Archer
Acting treasurer Elise Archer said the changed laws were a "vital" way to quickly add affordable housing to the market in Hobart.
"This is a key feature and indeed a key action that came out of the housing summit that was held, to ensure that we can increase supply to an already demanding market in our social and affordable housing," she said.
"We can't increase supply in our affordable social housing unless we have more land available for building these properties.
"This is about creating an efficient and effective system to ensure that we have that land availability that's to respond to the increased demand in the social and affordable housing area."
Roger Jaensch, who is the minister for both housing and planning, is responsible for signing off on the rezoning.