RESIDENTS have welcomed a Sunshine RSL decision last week to scrap a proposal to build 30 social housing units on its land.

But the RSL’s local and state presidents contradicted each other about whether the decision was made for community or financial reasons.

The plans, which would have seen disadvantaged women and families living next to a venue which served alcohol and had pokies, drew widespread criticism from Sunshine residents.

The decision not to go ahead with the proposal in its current form was made at an RSL committee meeting on Thursday.

Sunshine RSL president David Twidle declined to comment when Star called him last week. He reportedly told another newspaper the decision to cancel the social housing scheme was made due to “community backlash”.

But the president of RSL Victoria David McLachlan told Star the decision was made “purely for financial reasons”.

“It’s a subject of further consideration given that the original proposal was not found to be financially viable with the desired outcome for the sub-branch,” he said.

A West Sunshine resident who asked not to be named alleged the social housing project was cancelled because of “higher than expected building costs with less profit to the developer and the RSL”.

“The president is trying to save face and not be the bad guy because the proposal was not properly developed and the building costs were found to be much higher than first thought,” the resident said.

President of the Sunshine Residents and Ratepayers Association Darlene Reilly said she heard “rumours” the social housing developer Baulderstone were getting “cold feet”, but not the RSL.

“Whatever the reason, the community’s pleased they’ve done what they’ve done. Everyone’s very relieved,” she said.

“It’s fantastic. The community fought very hard and we’re glad they’ve listened. We welcome their about-face.”

Brimbank City Council’s general manager of city development Stephen Sully also welcomed the RSL decision.

“Council identified specific problems with the proposed development of 30 dwellings at the Dickson Street site in terms of design, density and car parking, and for these reasons recommended that the Minister for Planning not approve the development,” he said.