A sprawling housing development planned for Queensland's Sunshine Coast is a step closer to reality after being granted federal environmental approval.Developer Stockland is pushing to build up to 12,000 homes as part of the Aura South development, which has long been opposed by the Sunshine Coast Council.The master-planned community would neighbour the existing Aura estate, which will eventually include 20,000 homes on blocks starting at 250 square metres.Former mayor Mark Jamieson had warned Aura South risked eroding the region's inter-urban break between the Sunshine Coast and greater Brisbane.He was also concerned it could impact the Pumicestone Passage, which is listed under the Ramsar Convention, an international treaty aimed at conserving natural resources.Aura South will sit alongside the current Aura development. (ABC Sunshine Coast: Owen Jacques)Stockland announced the approval, with conditions, under the Environment Protection and Biodiversity Conservation (EPBC) Act, on Wednesday afternoon.General manager David Laner was not available for an interview, but said in a statement the approval came after "substantial environmental studies and conversations with the community"."The approval conditions set by the government strengthen Aura South's robust environmental protections, ensuring we're safeguarding the area's natural values while building for the future," he said. The site is bordered by the Beerburrum East State forest and the existing Aura development. (Supplied: Stockland)The developers said more than half of the 1,231 hectare site would be dedicated green space.Homes would also be built at least 1.6 kilometres east of the Bruce Highway, meaning the estate would not be visible to passing drivers.In state handsWhen questioned about the project on ABC Sunshine Coast radio, Sunshine Coast Mayor Rosanna Natoli declined to say whether the council still opposed the project.She said Sunshine Coast Council had submitted a raft of conditions and information as part of the environmental approval.Rosanna Natoli says the council will continue to work with the state government on the proposal to ensure the best outcome for the community. (ABC Sunshine Coast: Josh Dye)"The development approval is now in the hands of the state, and as a council we want to be at the table," Cr Natoli said."We want to continue to work with them to make sure that the needs of our community are front and foremost."Public transport, the environment, the impact to our lifestyle ... council can help to make sure that any housing that is approved delivers all of those things for the people who are coming our way and the people who live here now."It's about protecting our lifestyle as well."The development would fall within the Northern Inter-Urban Break green belt. (Supplied: Sunshine Coast Council )Ken Mewburn, from Take Action Pumicestone Passage, said his group still held concerns about the impact of the development."It's an area of national environmental significance," Mr Mewburn said. "Stockland put in a very, very detailed referral to the government. They've now placed 95 conditions on the development if and when it goes ahead."They have certainly listened to the community."Aura South would be about 3km west of the Pumicestone Passage.But Mr Mewburn said an approval could have cumulative impacts making it difficult to protect the area as a whole, particularly after the state government called in, then green-lit, the nearby Coochin Fields development."We probably don't have a lot of sway in changing much of this," Mr Mewburn said.Ken Mewburn says Stockland has made an effort to listen to the community in its planning. (ABC Sunshine Coast: Jessica Ross)'Big piece of growth' for regionDeputy Premier and State Development and Planning Minister Jarrod Bleijie was contacted for comment.When questioned earlier this year about the proposal, he said further approvals were required but added that "Queenslanders need every level of government pulling in the same direction to deliver more homes, faster".The Aura South estate proposed for Halls Creek on the Sunshine Coast was a former pine plantation that has long been used as grazing land. (Supplied: Stockland)Caloundra Chamber of Commerce president Michael Shadforth said Aura South, combined with the existing Aura community, was a "big piece of growth" for the region."The southern end of the coast is really the engine room of the Sunshine Coast now. Even though we put a lot of energy into the CBD [in Maroochdyore], the Caloundra area grows six times faster," Mr Shadforth said."It's well organised, well planned, and that's the advantage of master planning. It doesn't feel like the growth we used to have 20 years ago."He conceded there could be more congestion on the Bruce Highway, but said more people lived and worked on the coast today. "We've got work from home, we've got online, retail, we've got the infrastructure and the development industry growing with the construction industry, and then we've got all of these other businesses that are popping up," Mr Shadforth said. Sunshine Coast buying agent Tim Thompson said he was excited about Aura South. Tim Thompson says Aura South will be a good stepping stone for home buyers. (Supplied)"I do cartwheels when I see there's new supply coming to the market," he said."We need more supply and if we could wave a magic rod and put 12,000 homes out in the middle of central Queensland with no environmental impact, that would be great, but you can't earn money out there, you can't have your family, you can't have your community."He said the development could create a way for young people to break into the tight housing market."They have a good supply of smaller products," Mr Thompson said."Finding and securing the property is just so difficult, you've got to go on a waitlist. There's so many people trying to buy."Additional reporting by Sarah HowellsEmail address