Part of central Auckland will be rezoned as a town centre after an Environment Court ruling ended a dispute between the city's council and residents.
Several community groups appealed against an Auckland Council plan change to allow the Westfield St Lukes shopping mall to expand and rezone in 2010.
Mayor Len Brown has been leading a mediation process between Westfield and local residents.
The council says the mediation, which has been assisted by the Environment Court, has led to the council agreeing to make improvements to residential development and traffic calming measures in neighbouring Aroha Street.
The mediation has resulted in an agreement on the planning changes, and the Environment Court has given the green light to the rezoning.