Plans for 138 homes on the site of a former pottery factory in Dorset have been rejected despite officers recommending their approval.
Councillors raised concerns of over-development of the former Poole Pottery site in Sopers Lane, Poole, the Local Democracy Reporting Service said.
The land is allocated in the council's draft local plan as an area suitable for "approximately 100 dwellings".
Applicant East Street Developments said it was "stunned" by the outcome.
It proposed houses and flats, including nine affordable homes, bike storage and 166 parking spaces.
The Society of Poole objected to the development amid concerns about overloading the road network and questioned whether the development was adequately screened.
The plans were rejected by five votes to four by Borough of Poole's planning committee on Thursday.
East Street Homes land director Steve Jones said: "We were stunned by the outcome as it was very well presented at committee by the planning officer with his full support.
"The application generated very few objections as is normally the case with larger scale residential schemes of this nature.
"We realise the critical need to provide new homes within the borough and will continue with our endeavours to obtain a suitable planning consent for residential development on this site."
Poole Pottery closed its factory in 2006 before moving manufacturing operations to Staffordshire. It was demolished in 2011.
The application is not linked to plans by Fortitudo to demolish Poole Pottery's former home at the town's quay.