“We are disappointed with council’s decision,” they said. “We see strong potential in Northcote and are reviewing our options.”

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Time Out magazine listed High Street – which runs through Northcote, Thornbury and Preston – as No.1 on its “world’s coolest street” rankings last year.

More than 11,000 people signed an online petition calling the McDonald’s “plainly unnecessary” for Northcote, citing concerns about litter, traffic congestion and the impact on small businesses.

“Northcote is renowned for its local charm and community-based spirit and stands out with its balanced blend of local businesses and small franchises,” it said.

“The development of a McDonald’s on High Street will – plainly put – tip the balance in the wrong direction.”

Andy Miller, a Darebin resident who presented to the council meeting on Monday, also expressed concern about the fast food outlet’s negative health effects.

“Golden Arches everywhere erode local character and identity, replacing distinct food cultures with global uniformity,” he added.

“There are already three McDonald’s stores only eight minutes away from the site. This store will openly cannibalise the economic and social capital built by the Northcote community over many years.”

Deputy Mayor Emily Dimitriadis also noted the proposed McDonald’s was close to a school and kindergarten.

“This McDonald’s will be the first multinational food chain on the strip, likely paving the way for more of the type,” Dimitriadis said.

The McDonald’s in Clifton Hill, which is about two kilometres from the proposed new restaurant site in Northcote.

The McDonald’s in Clifton Hill, which is about two kilometres from the proposed new restaurant site in Northcote.Credit: Justin McManus

However, councillors Vasilios Tsalkos, Matt Arturi and Kristine Olaris voted against the motion to block the restaurant.

“I don’t particularly think that it is a good idea to put a McDonald’s in the middle of Northcote,” Arturi said. “But … the planning grounds that we have before us are very limited, if they exist at all.”

Tsalkos also raised concerns about the cost of defending a permit refusal at VCAT, which officers earlier said could amount to tens of thousands of dollars.

Their report also found the proposed McDonald’s works would “significantly improve” the currently dilapidated building, which was an arcade in the 1980s.

The pedestrian alleyway adjacent to the site of the proposed new McDonald’s at 323 High Street.

The pedestrian alleyway adjacent to the site of the proposed new McDonald’s at 323 High Street.Credit: Photograph by Chris Hopkins

Jonathan Yap, a McDonald’s representative at the meeting, also argued the proposal would create local jobs and was modest.

“There’s no major demolition or new build. Instead, we’re reinvesting into this underused site,” he said,

Darebin council sold the land to local businessman Akram El-Fahkri’s company in 2006 for $2.5 million, property records show, and a covenant still requires landowners to maintain a public walkway along the site’s edge to a car park.

The last tenant was The Pavillion restaurant, but it was destroyed by fire in September 2023.

In a statement on Tuesday, Darebin chief executive Anne Howard noted an appeal was possible.

“Council respects that as an important part of the planning process, and it is not appropriate for council to comment on any likely outcome at this time,” she said.