Neighbours say they would give the thumbs-up to new homes on greenbelt land – if it means saving "a beautiful stretch of water”.

Aldenham Reservoir, in Dagger Lane, Elstree, is leased to Hertfordshire County Council, but that lease is due to expire in September.

The reservoir is in need of serious repair, but property developer Liberty Aldenham has agreed to save the dam – should it receive planning permission to build flats in nearby Centennial Park.

The firm held a consultation event at the Fisheries Pub, in Watford Road, Elstree, today, which will go on until 7.30pm tonight (Tuesday).

Speaking at the event, Elstree & Borehamwood Greenbelt Society chairman Ann Goddard said she supported the plans.

She added: “It’s a beautiful stretch of water, especially when it is lit up by sunshine, and it would be a tragedy to lose it.

“This seems like a good deal. There’s been a lot of interest in it.”

There are concerns that if Liberty Aldenham is not granted the planning permission they need, Safari Investments, which currently owns the reservoir, would drain it.

Jenny and Ernest Jacoby, of St Nicholas Close, gave their support to the plans.

Mrs Jacoby said: “If it means saving the reservoir then we’d support it. It’s not an exciting part of green belt land – just marshland.

“We’ve got to make sure it will be watertight though and they’d actually go through with repairing the dam.

“We don’t want it to fall into rack and ruin if the dam is in danger of collapsing.”

Ann Dorans, of Sullivan Way, raised concern about traffic and questioned how new residents would enter and leave the site.

She suggested building a new roundabout near Watford Road to help ease the flow of cars during busy rush hours.

She said: “The traffic from around 4pm is staggered, you can’t get out or move. It’s solid. The other concern is that when the road isn’t blocked people go through it so fast.

“The corners can catch you out when you’re not familiar with them – that’s dangerous.

“But all in all if it means saving the reservoir I’m all for this. It’s lovely, we don’t want to lose it. I just hope we aren’t being blackmailed into supporting something, that’s all.

“Inevitably we have to build new houses somewhere. We don’t want poky houses – they’ve got to be nice.”

Steve Pickering, project manager for Liberty Aldenham, said: “We’ve got no idea what Safari Investments would do, it would be up to them.

“Nobody else has come with a better proposal for the reservoir and we want to save it.”