Sinn Féin Housing Spokesperson Councillor Tony Hassan has welcomed the news the Council has approved the first housing development on the H2 site at Buncrana Road.
The 25 new private homes will be developed by Lynwood Homes Ltd.
Plans are also being progressed for a hundreds of social homes as well as other housing developments on the site, following a lengthy campaign to develop the lands along the Buncrana Road area.
The massive H2 area takes in 118 hectares to the west of the Buncrana Road and runs from Ballymagroarty right up the city limits and is currently mostly open fields.
Colr. Hassan said: “After 13 years of campaigning to now have this site being developed we are finally seeing light at the end of the tunnel.
“The long saga of the H2 site seems to be coming to an end. This new development comprises of private homes, I am also being told that other developers are acquiring land in H2 for the construction of social homes and one housing association is looking to build 200 homes.
“I have to commend the efforts and commitment these developers have shown in bringing about this situation and convincing the banks to sell off some of the land so that they can kick start developments on the Buncrana Road site.
“Over the last number of years I have proposed motions on Derry City Council to have this site developed and only last month as vice chair of the planning committee on the new the council I proposed the same motion.”
Colr. Hassan added: “With the H2 site hopefully having been resolved the next step is to immediately begin the process of upgrading the A2 Buncrana Road.”