A Canberra property tycoon has taken the unusual step of dramatically reducing the size of one of his developments by two-thirds after the market failed to respond.
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More than 200 units from the original plan of more than 320 units will go.
It comes after 60 units had already been sold.
The move means the controversial development slated for the old Jamison Inn site is no more.
The Macquarie Apartments, formerly named Space Macquarie, has been supplanted by Macquarie Park.
At just one third the size of the original plan, which was dragged through the courts, faced fierce resistance from the community and bankrupted the original proponent, Macquarie Park will be comprised of 95 terraced houses.
Morris Property Group principal Barry Morris, who will develop the site as the Bowman Development Corporation, said there came a point where they had to face the market reality.
"We've taken a view that the product was not right for the market and we've redesigned it,'' Mr Morris said. "We've gone from a unit development to a townhouse development.''
He said they had only sold 60 units for the original 322-unit complex and felt there was a long way to go.
"Clearly the market was giving us a message,'' he said.
"Sometimes you've got to face reality.''
Space Macquarie went through the ACT Administrative Appeals Tribunal after facing a challenge from Jamison Shopping Centre owner Tony De Marco. Despite Space Macquarie eventually receiving approval, the company behind the proposal, Redevelopments Pty Ltd, ultimately went into liquidation.
Morris Property Group later purchased the land from the mortgagee in possession, BankWest.
"We weren't as enamoured with the design as our predecessors were,'' Mr Morris said.
"So from a pure commercial point of view .. if people aren't buying them it may be the wrong product.
"One must put what the market wants.''
A reduction in size comes with a reduction in height and density with townhouses at two storeys. This contrasts with the five and six-storey buildings initially proposed.
The new design will have commercial space at street level facing the Jamison Shopping Centre car park with room for about three cafes/restaurants.
Dezignteam managing director Warwick Dunstone said the new concept would have about seven or eight two-bedroom terraced houses, 80 three-bedroom terraced houses and several with four bedrooms.
Although all townhouses have two or more car parking spaces some tension remains about parking.
Mr Dunstone said a lot was decided in the ACAT hearing regarding the allowance of car parking for the old Jamison Inn.
"It was agreed in ACAT that there was a number of 50 that could be occupied,'' he said. "We've used this as a foundation. However all the residential car parking for the site is on the site.'' The approval process is almost under way.
