The rejection of a seven-unit project has two developers scratching their heads after council voted against the development.

Zep Lanza and James Scremin proposed to build seven two-bedroom units in Salvanza Crescent, however their proposal was rejected by Griffith City Council on Tuesday.

During the council meeting, a number of neighbours outlined their objections to the proposal suggesting that the 4.5 metre setback would have a negative effect on existing homes and that extra traffic could be dangerous to children riding bikes.

They asked the developers to return with fewer concessions to the development control plan (DCP) and with a design that is "more suitable".

Councillor Dino Zappacosta said he was concerned with "human needs" and supported a motion to reject the development because it "was not in the community's interest".

"I'm more concerned about the amenity of the people there," Cr Zappacosta said. The rejection was supported seven votes to three.

Councillor Mike Neville said staff had provided a quality report on the development proposal.

"I think it is the community interest, in the sense that we are committed to planning rules and the planning principles that we have asked them to apply," Cr Neville said.

"This site could be a multi-dwelling site with multi-levels, which would have a significant impact on the community around it and I think the developers have been responsible in terms of trying to provide a balanced development."

Mr Lanza said the development had been scrutinised by council's staff and several issues had already been addressed.

"Council staff have been tough but fair, we amended the design and concept from when we first lodged it with council in February," Mr Lanza said.

"They haven't just rubber-stamped it. They want to make sure the development is right for the city."

Mr Lanza said they chose seven units because they wanted to fit in with existing homes and meet the brief of designing properties for single professionals and retirees. He said obtaining a complying development certificate from the state government was considered, however that would remove any chance for local input.

Earlier in August, the proposed development was 'laid on the table', before councillors voted on a new DCP which aimed to facilitate further development in Griffith.

"We had complied with everything in the DCP which was approved," Mr Lanza said.

Mr Scremin said during public forums on Griffith's new housing strategy, developers were encouraged to provide developments like the one rejected to meet the city's lack of housing supply.

"Our design was based on the new DCP. Council said 'this is what we want to do, and we want you as developers to put in projects that will meet the housing strategy and knowing this DCP is going to be in place'," he said.

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