The Warrnambool council had mooted selling the site, however residents started a petition and pleaded with councillors to save the reserve.

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They said children regularly played and enjoyed the reserve, which has been an empty lot since the street was constructed.

Resident Bev Shakespeare said it was a relief and she was "absolutely happy" with the outcome.

"It is terrific," she said.

"We had a lot of great support from the street's residents and others in the area.

"It's a win for the people.

"It certainly gets used a lot."

She said the next step was to get playground equipment and a seat installed on the reserve. She is also planning a street Christmas party on the site.

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