Land sales in the Gungahlin town centre will continue, after the Greens backed down from their original call to halt all sales until planning laws were changed.
Labor and the Greens have agreed to a watered-down motion that will require the Suburban Land Agency to undertake greater consultation with the Gungahlin community before future blocks are sold.
The ACT government will also make a pitch to the federal government about the benefits of opening new public service offices in the Gungahlin town centre.
The motion caused a fracture between Labor and the Greens when it was introduced to the territory's parliament last month. Labor believed the motion went against the parliamentary agreement's policy of urban infill and a commitment to build more affordable housing.
The parties were locked in discussions over the motion for the past few weeks, with an agreement finalised on Tuesday.
Greens backbencher Andrew Braddock said he believed the motion would give the Gungahlin community a say, as land sales would be subject to detailed consultation.
Mr Braddock had originally called for land sales to be halted until variations were made to the territory plan, that related to commercial space and height limits in the town centre.
But the amended motion does not go that far. Instead the Suburban Land Agency has been directed to consult widely before the sales of mixed-use and commercial blocks. The agency will also need to consider selling land in larger blocks to encouraging "place-making".
The motion has also confirmed there will be no reduction in parkland, community facility land or commercially zoned blocks in the Gungahlin town centre.
When asked why the amended motion did not call for land sales to be halted, Mr Braddock said the government had come to an agreement that suited the needs of both parties.
"As part of those discussions with the government we figured out there was still a way to get the outcomes we were looking for that met the community needs and also still enable the achievement of the parliamentary and governing agreement targets," he said.
The Gungahlin Community Council has consistently expressed concern about a lack of offices and community facilities in the town centre.
The amended motion will also compel the ACT government to prepare a prospectus for federal Finance Minister Simon Birmingham on the "relative benefits of moving new or growing federal agencies to Gungahlin".
Defence Housing Australia's head office is set to move to the Gungahlin town centre next year.
A vote on Mr Braddock's original motion was controversially deferred in the last sitting period. Planning Minister Mick Gentleman called for the adjournment, citing a possible conflict of interest with the Assembly's planning committee.
The committee is currently examining a draft variation to the territory plan related to development in the Gungahlin town centre. The planning committee sought advice and no conflict of interest was found.
Mr Braddock said on Wednesday that more time was needed for Labor and the Greens to come to an agreement. He said the amendments had landed following "honest and constructive" negotiations to help the government achieve shared commitments from the Labor-Greens power-sharing agreement.
He said these included improving the planning system, giving residents a stronger say on how places are developed and to build more public and affordable housing properties.
Chief Minister Andrew Barr, who spoke on behalf of Housing Minister Yvette Berry, said the government promised to ensure more housing options were available in the power-sharing agreement.
"The government is happy to support the motion as amended before us today because it accurately reflects our determination to deliver housing for Canberrans in need while supporting growing communities," he said.
Canberra Liberals member for Yerrabi Leanne Castley slammed Mr Braddock for voting to defer the vote.
"As we know the Assembly debated Mr Braddock's notice of motion during the last sitting week and the Canberra Liberals announced that we would support it," she said.
"But then Mr Braddock sided with Labor to defer the vote leaving Canberrans confused about what they stand for."
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