Gunnedah's councillors have all voted in favour of the new koala park to be built on the Oxley Highway.
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The decision was made at yesterday's council meeting for the $6.6 million dollar project, which will include a wildlife sanctuary, koala hospital, educational centre and international volunteer program.
The site is 50 acres of woodland south-west of Gunnedah and the proposed operator is the CaPTA Group.
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Councillor Gae Swain said it was "an ideal partnership" because CaPTA has a "good reputation" and "understands how tourism works".
"The opportunity to be involved in a public private partnership such as this is not something to be sneezed at by council," she said.
"We need to listen to those who know the industry and ... I think we need to get on and just do it.
"I understand there are more processes we need to go through, but we need to be stepping out and being brave about this.
"I think there's a great opportunity for us to set the scene for Gunnedah into the future."
Cr Rob Hooke said he was "very excited for the potential of this project".
"This really is a milestone in the history of Gunnedah," he said.
"We do know that there are certain risks involved with this particular project, but the risks certainly are minimised by good governance that has gone before us and CAPTA is certainly a very well-known and well-valued member of the community up in Queensland.
"It's such a surprise to have found a site, which I think is going to be of great benefit to the community, and it has the ability to be staged so that we can have a project that is going to be up and running and well-attended and has the ability to actually expand into the future."
Mayor Jamie Chaffey said the park would have "great benefits" for the community, "stimulate the economy", and the "state-of-the-art hospital" in particular will be "a major benefit as we go forward".
He said he also looked forward to Gunnedah's inclusion on the list of "big things" when the big koala is constructed at the entrance of the park.
Other features of the park will include a eucalypt plantation, themed accommodation, restaurant and function area, and mini golf course.
Future stages may include a ropes course and zip lining, and Indigenous history education and showcase area.