Frustrated residents whose homes fall under the conservation area have argued that multi-level developments are contradicting the strict rules they have to abide by in the push for higher density.
Residents of Coodeong Lane, in which their homes face the Wollundry Lagoon, have said they are concerned that developments will interfere with Central's history.
One couple, who wished to remain anonymous, said under the conservation area they are unable to their front facade on fences, while having to seek council approval to change the colour of paint.
"Alterations and additions are to be subservient in form and scale to the original residence, yet a two-storey building which is higher than the original residence will overlook our backyard and pool, can be erected in the laneway," they said.
"This is quite a contradiction to the intention of the guidelines which originally stated that two-storey additions are not generally appropriate in the conservation area.
Another resident said there has been no "consideration" about the heritage value of their area.
"It's irreplaceable and once destroyed, it cannot be reinstated," they said.
"The uniqueness of this area around the lagoon should be preserved in its present state."
Gloria and Patrick O'Halloran also reside on Wollundry Avenue and have argued this is an "inappropriate" development.
"If councillors truly value and want to preserve Wagga's conservation area, they need to seriously look at the Development Control Plan and the implications of proposed future developments," the couple said.
"Our heritage and the integrity of the area should not be further compromised with inappropriate development."
Independent property valuer Chris Egan said any new development needs to be "sympathetic" to the existing streetscape, but the strict guidelines might have to be lowered in the push for higher density.
"There are lots of very large blocks in Central that could be higher-density and so restrictions might need to be relaxed but any development needs to be sympathetic," he said.
Mr Egan said that maintaining Wagga's heritage is often perceived negatively by those wanting to update their homes.
"A lot of people get sad about having to retain the heritage facade, but it has a lot of value," Mr Egan said.
"Australia is a young country and that early 19th century architecture obtains a real premium in the market, especially those that maintain the period charm at the front but then modernise the rear extension and then you get the best of both worlds.
"It's important for the history of the country and also a premium in the market if they're well looked after."
Historical valuer Malcolm Garder said conservation areas provide security and a premium in the market.
"People often want to live in these heritage areas because they provide security, they look nice and people are not worried that a mega mansion is going to obstruct their views," he said.
"Conservation areas drive house values up and offer protection, but many people will buy there and then be frustrated when they can't change something.
"It's more about the general good and protecting the nice things rather than someone moving in and wanting to change it."
Wagga City Council city development manager Paul O'Brien said council's role is to promote development, while preserving the ambiance of the area, along with its heritage significance.
"Under the provisions of WWLEP2010, council may grant consent to development for any purpose of a building that is within a heritage conservation area if council is satisfied that, amongst other things, the proposed development would not have any significant adverse effect on the amenity of the surrounding area," he said.
Council is currently undertaking a review of the comprehensive Development Control Plan for Wagga, including those provisions relating to heritage conservation.