Angus planners say they cannot back a 136-house Forfar bid because more than 50 homes would have to keep their windows shut to block out traffic and industrial noise.
Muir Homes want to build on 12 hectares of farmland at Westfield.
The site sits beside the busy Glamis Road and opposite Forfar’s biggest employer, textile firm Don & Low.
The long-established company employs around 450 people and has a £60m turnover.
It initially objected to the application over fears noise complaints from future residents could put the company’s 24-hour operations at risk.
But this summer the firm said it would withdraw its opposition if noise mitigation measures were added to any planning approval.
Those include a three-metre bund topped by a two-metre fence on the Glamis Road frontage.
However, the council’s own environmental health unit says it cannot support a plan which would see residents forced to have their windows closed to keep noise at acceptable levels.
That prospect emerged as part of a noise impact assessment for the scheme.
Land is zoned for new homes
Muir Homes first came forward with plans for new housing in 2018.
The land is zoned for residential development and part of a wider strategy which could see up to 300 new homes built.
Rival developer Scotia Homes hopes to build on an adjoining Westfield site.
It is yet to submit a detailed planning application.
Council planning chiefs say the new Muir houses would help meet an Angus housing shortfall.
But they are of the view the benefit is not outweighed by the type of development being proposed.
Two new roads would be built to serve the scheme, one off Glamis Road and the other from Westfield Loan.
Design doubts
However, officials have criticised Muir Homes’ layout and design.
“The proposed houses are not unattractive…but the layout does not respond well to the character of the surrounding area and does not comply with the council’s design policies,” say planners.
“There are issues with the masterplan submitted in support of this application.
“It has been prepared largely in the absence of supporting assessments to justify the proposed approach, and specifically to justify the suggestion the site can accommodate significantly more homes than anticipated.
“The proposal would help address a reasonably significant housing land shortfall within the West Angus housing market area and there is a strong public interest in ensuring that shortfall is met.
“However, there is also a strong public interest in ensuring that new development is of a high design standard and provides a good living environment for future residents.
“This proposal has significant design failings and it would not provide a good living environment for future residents by virtue of noise and associated mitigation requirements.
“A development of overall poor design quality that does not provide an acceptable residential amenity for future residents is not regarded in overall terms as a sustainable development.
“The long-term harm which would be associated with the proposal outweighs any benefits of addressing a shortfall in housing land supply,” say officials.
Muir Homes also previously quashed concerns that part of the land had been used as an anthrax burial site.
Angus development standards councillors are due to consider the application on Tuesday.
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