Murray River Council received a report on future residential development in Mathoura at its Council meeting last week.
The report covered the feasibility of developing and subdividing Council-owned land on the corners of Cobb Highway, Jones and Mathoura Street in Mathoura.
Murray River Council mayor, Chris Bilkey said the proposal was a positive first step for further development in the town.
"Mathoura is a central location between major towns like Echuca/Moama and Deniliquin, so it makes sense to properly plan for future development now so that we can encourage growth in the township in the near future," he said.
The initial layout proposes 21 lots ranging from 663m2 to 1,111m2 and averaging 945m2.
The next step in the process will be to complete a more detailed business and property market analysis so council can receive a further report on the matter.