 An early industry in the area was limestone mining and lime production . By 1831 a lime burning industry had been established . The lime was sent to Launceston for use in construction . The town of Chudleigh was surveyed and marked into town blocks , many of them 10 acres ( 4 @.@ 0 ha ) . The date of this survey is not recorded but it was likely done by John Batman , founder of Melbourne , prior to 1835 . The town was laid out to hold a population of 5 @,@ 000 , as it was intended to be a railway junction on a line from Launceston to North West Tasmania . Later road and transport developments caused the idea of such a large settlement at Chudleigh to be abandoned . Dan Picket , an ex @-@ convict who has been granted a ticket of leave , built the first hotel , the two @-@ storey Chudleigh Inn , around 1850 . The building was later reduced to a single storey . This hotel or inn was noted as being used by 1851 . A police watch house was completed <unk> By 1862 an extensive system of caves had been discovered in the area , attracting visitors . 
