The second phase of a 145-home development has been approved by South Kesteven District Council.
The authority’s planning committee gave the go ahead to the 69-house section of Linden Homes’ plans for the western area of land off Linchfield Road.
Improvements to the original plans included a reduction in the distance bins would have to travel, a feature square, new boundary treatments and parking layout improvements.
Concerns from residents included the impact on traffic, noise, privacy and light, as well as some original elements missing, including stone houses and bungalows.
Ward Councillor Judy Stevens said it was “very important to the people of Deeping St James” to get it right.
Councillor Kate Shinkins-Hoppe, from Deeping St James parish council, said that despite improvements, there were still concerns over drainage, impact on the character, footpaths and traffic.
“Our parish council appreciates the work completed so far, however, when compared against new legislation, the current draft development falls short,” she said.
Councillors also criticised the designs, with Councillor Virginia Moran calling them “little boxes which are ticky tacky”.
The developers said they had engaged positively with the council.
Agent Georgina McRae said: “The scene before you today will provide a good quality design and a development that will be appropriate and integrate well with surrounding context, the internal layout and being at space are considered to be appropriate.”
The development includes nearly £1 million contributions towards health, education and public transport.
Councillors included new conditions for a construction management plan with a new access point to the site, as well as for three additional houses to be in stone and for details of street furniture to be provided and approved at a later stage.