With subdivisions and new businesses springing up around them and Marulan's population surging, Richard and Leanne Mifsud believe the town is in dire need of a supermarket.

Their development application for the 1500 square metre Independent Grocers Association (IGA) facility and six specialty shops in George St, on the site occupied by Noacks Bus Service, is likely to be considered at this month's Goulburn Mulwaree Council meeting.

"It is an exciting development, and something quite new," Mrs Mifsud said.

"This is a growing area and it's screaming out for a supermarket. It's too far to travel into Goulburn for many people."

The plans involve demolition of two commercial buildings in George St, relocation and donation of an old settlers cottage to the local historical society, retention of an old sandstone cottage currently occupied by a florist and construction of some 70 car parking spaces.

Mrs Mifsud said while tenders had not yet been invited in the shops, there was informal interest in a hairdressers, solicitor's office, restaurant, liquor store, restaurant and a veterinary surgery, which the town was lacking.

Bowral architects have drafted plans in conjunction with IGA, which is helping with the supermarket's internal design. Recognising the street's heritage significance, the proponents are keen for a sympathetic design.

The reaction among locals so far has been very positive, according to Mrs Mifsud.

She acknowledged that the development was a big gamble, but believed it was one that would pay off in the longer term and encourage more people to move to Marulan.

The couple moved to the area from Sydney seven years ago to establish a chicken farm on a 200-acre South Marulan property - they also sought a life away from the "rat race".

Richard's brother James and his wife also run a turkey farm just off the Hume Highway, near Marulan.

Their latest venture was partly prompted by family members' involvement in other IGA supermarkets and the food industry in Sydney.

The Mifsuds hope to start construction in July and have the complex up and running by this time next year. They intend to have a hands-on role in the supermarket.

Councillors had a brief preview of plans at a recent meeting, at which the Mifsuds sought council direction about a 13-space deficiency in car parking. The developers originally proposed 64 spaces, which would be a 20 per cent variation to council's standard car parking requirements.

However development control manager Chris Stewart said if the proponents designed a building which was sympathetic to the adjoining heritage structures, the deficiency in car parking might be "looked upon favourably."

"(But) poor urban design combined with a deficiency in car parking would raise serious concerns about the merits of this proposal," he stated in his report.

On Mr Stewart's recommendation, councillors decided to ask the proponents to design suitable elevations for the development for consideration before a future review of car parking arrangements, given George Street's heritage significance.

Mrs Mifsud said if the car parking was an issue, she was prepared to forgo a shop or move a cottage to accommodate planning requirements.