Outline planning permission has been granted for a housing development on lands between Belt Road, Church Road and Ashcroft, Altnagelvin.
The application came before councillors on Derry City and Strabane District council’s planning committee on Wednesday.
The site forms part of zoned housing land H22 as defined within the Derry Area Plan 2011 (DAP). It comprises of an agricultural field located adjacent to the existing housing developments Ashcroft and Glenmore Parkand also comprises of an existing dwelling and associated agricultural buildings at Ashcroft House.
A number of objections to the development have been received and as a result the developer has reduced the number of houses proposed from 424 to 394.
The developer has also scrapped plans to build four storey apartment blocks and three storey dwellings.
Plans for a play area have also been moved to a more centrally located site on the development.
The plans also include a mixed retail unit.
Councillors were told that the scheme represents an investment of £30m and will retain 150 construction jobs.
The proposal was approved subject to conditions outlined by planners.