A VCAT hearing over the former Ballarat Memorial Servicemen's Bowling Club redevelopment was held last week after Ballarat City Council knocked back the proposal at its June 26 meeting.

Applicant TGM Group Geelong said at the time the site "offered a unique opportunity to create a high-quality residential environment".

The proposal was for five different townhouse types, made of brick and cement, with either two or three bedrooms, and private parking.

An internal road would provide an entry and exit point onto Drummond Street North, with the site also facing onto Creswick Road.

A communal park, barbecue pavilion, eating area, paving, raised lawn, landscaped garden beds and five visitor car parks would also be provided.

As the site is located in the Central Ballarat Heritage Precinct, an historically significant house fronting Creswick Road would also be retained.

However, the council refused the application, which received 34 objections, because it would "adversely affect the heritage and neighbourhood character of the area" and was a site overdevelopment.

It was also knocked back because it failed to provide adequate and appropriate traffic and access arrangements.

TGM Group Geelong appealed the decision to VCAT, which is expected to make its decision public in the next few months.

fiona.henderson@fairfaxmedia.com.au