In 2006 Newcastle Council refused a development application by Hunter Valley Care to build Pepperwood Ridge, a 70 bed care facility. The matter went to the Land and Environment Court with Hunter Valley Care winning in 2009 at an expense of $140,000 in legal bills to Newcastle Council.

A new application has now been submitted for an $18 million, two story facility with 159 beds, including 64 dementia beds on a smaller plot of land. Hunter Valley Care operates six care facilities.