Coffs Harbour Council has approved a $9 million, five-storey residential complex to be built across from Jetty Village Shopping Centre.
The Edgar Street apartments will include 34 small scale apartments of one, two and three bedrooms.
Some councillors were concerned the new development would create parking chaos in the already crowded area, but planners say they have provided the required number of cars spaces, including underground parking and extra public parking.
The development is expected to commence early next year.
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