Last week, Monash Council announced the Department of Education and Early Childhood Development had agreed to preserve 19 per cent of the site as well as an extra area for significant trees and vegetation.

The council has agreed to rezone the school for residential use at the department's request, subject to the approval of a panel appointed by Planning Minister Justin Madden.

Councillors were effusive about the outcome for the open space-deprived suburb because the reserve dwarfed the standard 5 per cent open space requirement for new developments. The 3.95-square-kilometre land parcel consolidates 5per cent of the closed Monash Secondary College site and 5per cent of the primary school site.

But residents also want to retain wetlands on the secondary college site in addition to the parcel.

Notting Hill Action Group spokeswoman Marian Quartly said that while pleased with the council's efforts, residents "didn't feel bound by the agreement for secondary college land."

"We'll take the consolidated parcel, but we can still make a case for land [at the secondary college]."

She said the group was still keen on a group such as the XJS Chinese Language School setting up a community school on the site, though it would be difficult for them to compete with residential developers.

Monash Mayor Paul Klisaris ruled out forcing the DEECD to withdraw its application to rezone the site for residential use. "The proposed zone does not exclude the establishment of a private education institution on the former school site."

A spokesman for the XJS Chinese Language School said it was still interested in setting up a bilingual community school on the site.