The planned high-rise on the corner of Camp Street includes 5255 square metres of office space, a penthouse apartment, 66 car parks, bicycle facilities and a cafe.

A planning permit for the building was approved by eight councillors at a meeting last night.

Cr Craig Fletcher was absent from the council chambers for the vote, due to a declared conflict of interest.

Speaking against the development, Ballarat Heritagewatch spokeswoman Anne Beggs Sunter said the building design did not respect the heritage status of nearby areas.

"We feel this sort of development in such a sensitive heritage precinct as Camp Street is totally inappropriate," Dr Beggs Sunter said.

But north ward councillor Noel Perry said the application was in line with the vision for Mair Street outlined in the council's CBD strategy. That document viewed the street as the best place for office development in the CBD.

"If we were to reject this application, we may as well put up a sign at Bakery Hill saying `Ballarat is closed for business'," Cr Perry said.

Councillors Des Hudson and John Philips raised concerns about the lack of parking in this and other recently approved CBD developments.

Acting chief executive officer Jeff Pulford said a car parking strategy for the city would be presented for the council's consideration by the end of the year, which he expected would seek to deal with Mair Street.

Existing warehouses and a Blockbuster Video store on the land will be bulldozed to make way for the development.

The application, lodged by TGM Group on April 6, received three objections.