How the relocation of a Bunnings store ignited a furore in this town

Bunnings's plan to move from Bunbury has prompted a strong community reaction. (ABC News: Madigan Landry )

Bunnings's plan to relocate a store in WA's south west has sparked fierce opposition from businesses, politicians and residents.

Critics argue the move could hurt nearby retailers and take up land for housing during a housing shortage.

The hardware giant says the $70 million relocation from Bunbury will create jobs. Planning authorities are yet to make a decision.

A public outcry has erupted over Bunnings's decision to shut up shop in Western Australia's second-largest city and move down the road to a neighbouring shire.

The hardware giant plans to vacate its site at a retail centre in Bunbury, south of Perth, and shift to Dalyellup, 10 kilometres away in the neighbouring Shire of Capel.

The $70 million move has prompted bitter objections from the city's business community, mayor, and both federal and state politicians.

Eddy Gobby, who owns a suspension workshop close to the Bunnings site near Bunbury's CBD, is concerned the hardware giant's departure will hurt surrounding businesses.

Eddy Gobby fears businesses surrounding the Bunnings precinct, like his, will suffer a loss of trade. (ABC News: Jacqueline Lynch)

Questions have been raised about the suitability of the proposed new site, which is zoned for urban development, and whether it takes away residential land.

About 100 people attended a community meeting about the move this week and the City of Bunbury subsequently voted to lodge a formal objection to the move.

Dozens of people attended a public meeting about the plan. (ABC South West WA: Georgia Loney)

Federal Liberal MP Ben Small is demanding WA planning authorities refuse the development application on the grounds that the land should be used for housing.

"The number one issue for the South West is the lack of sufficient housing," he said.

The land is zoned urban development, which allows for a mix of uses, and under the shire's structure plan has been set aside for residential use.

But Capel council officers said the land may no longer be appropriate for residential use, given its proximity to a recently built major highway connection.

The vacant site, south-west of the Bussell Highway roundabout, where the Bunnings may be built. (Supplied: Nearmap)

The WA Planning Commmission (WAPC) will make the final decision about permitted use of the land.

The ABC has confirmed WA Labor MP Don Punch, who has also lodged concerns with state planning authorities.

Bunnings's director of property Garry James said the new 18,000-square