It has taken some 15 years but the small township of Karuah - which was economically torn apart with the Pacific Highway bypass in September 2004 - is rising from the ashes with renewed business and housing confidence.
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Kaurah's population of 1400 (2016 Census) is set to increase with a number of new housing developments on the horizon, including a 400-lot subdivision off Tarean Road south of the township and a more modest 40 homes for the Over 50s to sit alongside the caravan park in Holdam Street.
There are unconfirmed reports that the site of the former Karuah Hotel, which has been abandoned for approximately six years, has also been projected for housing.
While many businesses were devastated as a consequence of the bypass, new signs of business recovery have also emerged.
The renewed push for more housing has been backed by Port Stephens Council by amending the Port Stephens Local Environmental Plan 2013 to enable residential development on the 40-hectare site in Tarean Road.
Councillors unanimously agreed at the August 13 meeting to forward the planning proposal to the NSW Department of Planning for a Gateway determination, which allows for further studies to be undertaken, along with public consultation.
"Should the Gateway proceed, detailed studies relating to ecology, Aboriginal heritage and drainage would be required," the council report said.
"The land is considered to be suitable for residential development given that it is relatively unconstrained and is located within proximity to the Karuah town centre.
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"Furthermore, it is identified in the Karuah Growth Strategy, adopted by the council in 2011, for future residential development."
The property has been been in the Johnson family for three generations, used primarily for farming cattle.
Albert Johnson's grandson Vaughan Jenner, pictured with sister Kylie Jenner, said that the vast majority of land earmarked for low density housing lots had been cleared.
"We are still in the early stages of concept plans and there is a long road ahead but it was pleasing to have the council approve the rezoning on Tuesday night," Mr Jenner said.
"It is our aim to develop over 400 lots for affordable housing to help reinvigorate the town. It is hoped that with new families moving into the area they will support Karuah businesses.
"It is expected that the Williamtown aerospace precinct will attract up to 4000 new jobs in years to come and we are a 25 minute drive away."
Planning consultant for the land owners, Marion Laurens, said that residential blocks of land would be sold on an individual basis.
Another family owned business is the Big 4 holiday park in Holdam Street, Karuah, where owner Michael Driver said there was a real buzz in the town after years of doom and gloom.
"We have had been sitting on an approval for 41 senior living (Over 50s) homes for some years now, waiting for this moment," said Mr Driver, who purchased the property in 1996.
Currently, there are approximately 100 permanent residents on the property which is located adjacent to the holiday park.
"We had been concerned that maybe people had forgotten about the town, but with reports of a range of new development proposals we thought it was time to commence construction," Mr Driver said.
"We have two display homes on site and we have taken six deposits off the plans. The homes are all two- and three-bedders with prices starting from $245,000.
"It will be a gated community setting, featuring a swimming pool, community hall and private jetty."
