More than 60 new affordable homes are to be built on the edge of Sleaford by the Longhurst Group as part of the wider Handley Chase development south of London Road.
Permission was formally granted on Wednesday after the plans were submitted last September.
The group, which owns and manages more than 23,000 homes across the Midlands and East of England and has offices in Boston, Lincoln and Grimsby, is working with Lincolnshire-based Lindum Group on the development.
In total, 64 affordable homes will be built.
Nick Worboys, Director of Development and Sales at Longhurst Group, said: “We’re delighted to be granted full planning permission for these much-needed affordable homes in Sleaford.
“We know there’s a clear need for more affordable housing in Sleaford and the wider area and by delivering these homes, we’re emphasising our commitment to helping with the provision of affordable homes in the district.
“The scheme is 100 percent affordable and underlines our absolute commitment to providing the homes that are needed, where they’re needed most.
“We’re now looking forward to working with our construction partners, Lindum Group, and I’m excited to see the progress on this site.”
Thirty of the homes on the development are to be offered for sale on a shared ownership basis, with the remaining 34 available for affordable rent. It will include a mix of two, three and four-bedroom properties.
In addition, two public open spaces with new trees will be created as well as a new pedestrian link through to Rosewood Drive.
The development site forms part of the ongoing Handley Chase development, which was approved in July 2015. The wider scheme involves creating a Sustainable Urban Extension (SUE) to Sleaford including 1,450 houses, a new, two-form entry primary school, care home, public open space, sports pitches and allotments as well as a local community centre and commercial space for shops. The SUE site extends to around 60 hectares and occupies a broadly triangular plot of land on the southern edge of Sleaford.
Lindum Group Development Manager Mitul Shah said: “We’re delighted to be working with Longhurst Group to bring forward 64 new affordable homes in this area of Sleaford.
“Our construction division expects to begin work in late spring or early summer, once work to create a new road to serve the site is complete.
“This development will be an important addition to housing provision in North Kesteven and supports the local and national drive to deliver much-needed affordable housing for local people.”
Hugh Caseley of landowner Sleaford Property Developments Ltd, added: “We’re very happy that full planning permission for these homes has been granted.
“We worked closely with Lindum Group and Longhurst Group to develop a scheme that would complement the Handley Chase development and we are delighted the final result has been supported by local planners.”