Windella will be the site of a 42-dog boarding kennel previously denied by Maitland City Council.
Applicants Ross and Hanneke Chipperfield won their appeal in the Land and Environment Court last week.
The council denied the application on September 28 last year following 440 letters of objection, on the grounds of noise and increased traffic.
Opponents of the Krystina Avenue proposal posted signs in the front yards of the rural-residential estate that shouted “No kennels, lodge objections now”.
The Land and Environment Court case, Chipperfield and Anor vs Maitland City Council, made a rare journey out of Sydney to hear the case at Maitland Court House after a site inspection.
Commissioner Judy Fakes upheld the appeal on the grounds the development met the Rural B2 zoning.
“We jumped through hoops for council because of the people out here,” Mrs Chipperfield said.
“We’re not doing anything illegal or anything we shouldn’t.”
Mrs Chipperfield said the family had been the target of an “ugly, spiteful campaign” since the plans were lodged.
“It’s hard for us to drive out of the estate with all the scrutiny we suffered,” she said.
“They wanted to get at us and they went so far as to investigate my daughter’s horse training business.”
Given the planning green light, the family is in the process of getting quotes and hopes to have the project completed by year’s end.
“I can’t tell you how much the legal challenges have cost us and I wouldn’t want to add it up,” she said.
“Having it delayed we’ve lost a year’s income, too.”
Cr Ken Wethered said the commissioner’s ruling was an affront to those who complained.
“By the books it might be right but it is an affront to the community out there,” he said.
“I would like to say sorry to the people out there that did the right thing, banded together and made their objections.”