The owners of a Curtin retail block are asking the government to reconsider approval for a scale-back development of the site after a failed bid 18 months ago.
The controversial proposal was rejected by planning authorities in February last year and while planning legislation requires reconsideration applications to be lodged within 20 days of rejection, extensions can be granted.
The development was originally canned because the proposed six storey building height would overshadow the square.
Developers have since scaled back the building to five storeys.
The Curtin Residents Association said the developers had now asked for reconsideration despite the government still finalising a Curtin masterplan, which would dictate the scale and type of construction permitted.
Association president Chris Johnson said residents were still concerned about the size and design of the buildings proposed in the development.
He said they would block sunlight across the shops and create traffic problems as well as encroach on public space.
In April, a released draft of the masterplan was heralded as a win as it significantly scaled back the height of buildings allowed.
Under the draft, building heights will be restricted to one storey around the shops' central courtyard.
A two storey limit would apply around the core retail area with an allowance for building heights of 18 metres or five storeys if planning principles - such as a character - are met.
Mr Johnson said development applications shouldn't be "flung into the air" while the masterplan was being finalised.
"It would be premature for anyone to evaluate a new proposal in this place without knowing what that's going to be," Mr Johnson said.
The original proposal was rejected due to the "size, character and scale" of the six storey building. As a result, the Haridemos family closed shops after leases expired in late 2017 and fenced off the building in January.
The application for reconsideration, which has revised major elements of the development, has scaled back the building height to five storeys in line with the draft masterplan.
But Greens Assembly member Caroline Le Couteur said she was concerned the reconsideration process was being used for a development that was so controversial.
"The reconsideration process has fewer safeguards and rules," Ms Le Couteur said.
"The planning directorate should have required a new development application so that all of the normal rules applied."
Planning legislation doesn't require developers to provide the same community consultation period after they've lodged an application for reconsideration.
ACT chief planner Ben Ponton rejected Ms Le Couteur's assertions there would be reduced safeguards.
He said development heights would be considered under the draft plan on the basis they met local character criteria.
"I would just like to make the observation that I understand the proponent did reach out to the Curtin Residents Association prior to lodging the reconsideration application as part of their commitment to community engagement," Mr Ponton said.
Mr Ponton said the government had placed a number of signs on site notifying people of the reconsideration application and contacted nearby businesses.
Tania Parkes, a spokeswoman for the developers, said the design in the reconsideration application was considerably different to the axed proposal and was fully compliant with the draft master plan.
Ms Parkes said developers had invited Curtin residents to a briefing two times before lodging the reconsideration application.
Planning legislation normally requires anyone who made a submission - or representation - on the proposal to be contacted and allowed to make comment within two weeks of the application being lodged.
Mr Ponton said on Monday the government had extended this to three weeks but on Tuesday he said it had now been extended to six weeks, allowing residents to make comment by August 17.
The application was lodged on June 19, but planning authorities didn't notify the public of lodgement until the end of the recent school holiday.