A plan by the Otago Racing Club to subdivide part of Dunedin's Wingatui racecourse for housing has been refused resource consent.
Otago Racing Club is now looking at its options Photo: RNZ / Ian Telfer
The proposal for 11 housing sections on the section of rural-zoned land near Mosgiel was opposed by many residents, who said the rural zone which should guarantee a rural outlook.
The Dunedin City Council panel, which held the consent hearing, has agreed.
It says new houses would hurt the area's semi-rural character, undermine the district plan and set a bad precedent.
The Otago Racing Club says it will study the decision before deciding whether to lodge an appeal.
Club president Dean Lawrence said the decision was not a disaster, but disappointing for the Club's future prosperity.
He said plans to build a training centre of excellence may be held back.
"We'll just have to sit back and have a re-think. I believe our strategic plan still is something we should aspire to, we'll just have to see what our options are."