Two property developing companies that applied to build 206 houses on land in Locks Heath have appealed against the refusal from Fareham Borough Council.
An inquiry will be heard into the refusal to allow Taylor Wimpey and Bovis Homes’ to build the 129 houses and 77 flats at land on Peters Road.
Fareham councillors went against the advice of their planning officers to reject the scheme earlier this year for reasons of design, affordability and viability.
The developers had told the council the suggested contribution along with the requirement to make 40 per cent of the new homes affordable would make the scheme no longer viable and they would not proceed.
Councillors were unhappy that the companies wanted to make just 27 per cent of homes affordable and they also disliked the design and numbers of three storey buildings on the site.
A government-appointed inspector will hold an inquiry about the application for the 6.3-hectare site, which currently includes a number of derelict glass houses and abandoned outbuildings.
A Taylor Wimpey spokesman said: “Following the refusal of the application by Fareham Borough Council, Taylor Wimpey has decided to appeal the decision. We await a date for the appeal that we expect to be in November or December of this year.”
The application is part of phase two of a project by Taylor Wimpey – which has already begun building 46 houses on the new Strawberry Fields development site. These are due to be complete in October 2014.
The spokesperson added: “As part of the works, we are in the process of moving lizards and slowworms on this site to an alternative site at Creech Wood.
“During construction of the current phase of the Strawberry Fields development, no roads will be closed as we will be using specially constructed lanes.
“We aim to ensure that work on this development causes minimal disruption for current residents.”
Anyone wishing to make comments ahead of the public inquiry can write to 3/26 Hawk Wing, Temple Quay House, 2 The Square, Bristol, BS1 6PN.