Vale of White Horse Council has approved plans for 4,254 homes at the Valley Park development in Didcot, Oxfordshire.
Housebuilders Taylor Wimpey and Persimmon jointly lodged the plans with Hallam Land.
The trio are seeking outline planning consent for a new settlement with mixed-use local centres, two primary schools, sports pitches, and community and leisure facilities on the 450-acre site.
The unanimous approval follows a deferral earlier this year, after concerns were raised around the impact on infrastructure.
The scheme is adjacent to the 3,300-home Great Western Park development, from Taylor Wimpey and David Wilson Homes.
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