Yarra City Council last night voted not to discontinue a road abutting 37-45 Best Street in North Fitzroy.
The decision means that the bluestone laneway will be retained as a road and will not be sold to the adjoining owner.
Yarra City Council Mayor, Cr Stephen Jolly said selling the laneway would have caused chaos for all the future residents who'll live in the new developments in the area.
"We support more housing for people on low-incomes here in Yarra - but what we're not going to do is prioritise the needs of one developer over the needs of our community.
"Selling the laneway would make it harder for our community to get in and out of the laneway.
"I want to thank the 409 community members who made submissions to the proposal. I know this is a great outcome for our community," the Mayor said.
