Estate agents Strutt and Parker, representing Lord Dalmeny, have held a consultation with residents in the area for the Harlaw Gait plan that has included two public exhibitions.

It is understood up to 45 houses could be built if the project, which the consultation paper said would mean tree-planting, pathway provision and nature conservation, is approved.

The plans are being challenged by some residents on the grounds it is on green belt, it could create traffic problems and restrict agricultural activity.

The site sits on the family’s Malleny Estate next to the National Trust for Scotland property Malleny House and Garden and is currently used for grazing.

Bill Henderson, SNP councillor for district, said the plans had opposition in a community that campaigns to protect its village atmosphere and green belt.

He said: “I totally oppose it for a number of reasons. Firstly it is green belt and there are severe traffic issues. It has minimal support from the people in Balerno and we will be opposing it.”

The Balerno Green Belt campaign said at this stage developers “test the waters to gauge public resistance”.

A report before Edinburgh City Council yesterday highlighted key issues.

David Leslie, acting head of the council’s planning and building standards, said in the report: “The area of woodland on the bank of the Bavelaw Burn, in the north western area of the site is included within a site of Importance for Nature Conservation.

“The site has also been identified within the candidate Pentlands Special Landscape Area.

“A key factor in undertaking this procedure and assessing the relevant application would be the potential impact of the proposal on the character of the rural landscape and on the setting of the category A-listed, Malleny House and Gardens, to the north of the site.”

Andrew Aitchison of Strutt and Parker said: “We were very pleased that the exhibitions were well attended.

“We were able to share the proposal with a significant number in the community.”

Harry Dalmeny, a friend of the royal family and supporter of the Conservative Party, is in line to inherit land across south-east Scotland from his father, the 7th Earl of Rosebery, including the Dalmeny and Malleny estates.

Jonathan Burrow, of Rosebery Estates, said: “The proposals are for a modest housing development which would form a natural extension to Balerno and, we believe, would help meet the significant demand for housing in the Edinburgh area without any adverse impact on the natural environment and landscape setting of Balerno.”