A bid to build 335 homes in Wymondham looks set to go ahead after councillors agreed to drop a challenge to an appeal.
The application by Hallam Land Management to build homes on London Road and Suton Lane in Wymondham was refused by South Norfolk Council last year due to the detrimental impact on the grade II-listed Gonville Hall.
But Hallam Land Management challenged the verdict with an appeal.
The council's development control committee decided not contest the appeal at a meeting on Wednesday, March 2.
At the time of the first decision, the council believed it had a five-year land supply – a government requirement to encourage house-building – but the authority has discovered that it does not, giving developers a much stronger position to see applications approved.
The plans also include a new cemetery and open space which could be used for play areas.
Objectors at the meeting said the development would urbanise the area around the 16th century hall.
But a representative from the developer said they had worked closely with the town council and Heritage England.
Chairman of the committee Joe Mooney said he could see 'no reason' to refuse the application.
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