THE fate of the house made famous in the hit movie The Castle in Beechworth will be decided on Tuesday night.
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Darryl Kerrigan's much loved abode spared demolition in a High Court victory spearheaded by lawyer Dennis Denuto will become the caretaker's residence for a caravan park developer George Fendyk hopes to build on part of the historic Mayday Hills site.
Indigo Shire staff have recommended the caravan park planning permit application be approved, but Mr Fendyk and council are still butting heads on a master-plan for the entire Mayday Hills site.
Mr Fendyk declined to comment before this week's council meeting.
Council staff recommended the planning application be approved late last year before the proposal was put on hold by councillors so a master-plan for the entire site could be drawn up.
In his report to council, planning and statutory services manager Ian Scholes confirmed the concerns of the master-plan, but would be dealt with at a later date.
They include concerns on still to be publicly revealed plans for farming land surrounding the proposed caravan park.
"Officers have advised the applicant that the plan is unsatisfactory," Mr Scholes wrote.
"Notwithstanding the issues with the master-plan, nothing was received that is considered to be detrimental to the assessment of the planning permit application.
"For this reason the application is being returned to council for consideration."
Among the objections raised to the proposal include noise, impact on Oak Avenue and Dingle Road, security concerns and the construction of cabins in a second stage of the proposal.
Removal of trees from the site will need the approval of council.
Plans for a "small scale" distillery in an existing building have been shelved.
Mr Fendyk and business partner Geoff Lucas bought the Castle House at auction in mid-2017 for $40,000.
They purchased the Mayday Hills site four years earlier from La Trobe University for $1.5 million.