The Victorian Civil and Administrative Tribunal hearing in Melbourne on Monday and Tuesday considered an appeal by Lyndoch's board of management against a Warrnambool City Council planning permit refusal.
Verbal submissions were put forward by the council, three residents living near Lyndoch and written objections by another 41 residents all arguing that the proposal was too big and would block river views. Lyndoch maintains the development is vital for its future growth and to bring in necessary revenue.
A decision is expected in about a month.
Neighbour John Hutson, who attended the hearing, described it as a well-balanced presentation by all parties. "We recommended that the project not proceed," he said.
In March, the city council voted 6-0 to refuse a planning application from Lyndoch for 36 units and a community centre at the Hopkins Road-Marfell Road complex despite the council's planning department backing the expansion.
"The VCAT registrar reserved his decision and we do not expect to hear any further for about a month."
Lyndoch's application, which was first lodged in June 2009, had attracted 40 objections.
It was to be the first stage in a four-stage development of 76 apartments and units, which would ultimately replace the existing stock.
Only 16 of Lyndoch's existing units were occupied, with many of the buildings more than 40 years old.

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