Nearly 200 homes in Holbeach have been given the go-ahead despite concerns a new road could become a rat run.
Cicero Estates drew up the plans for land between Battlefields Lane South and Kings Road.
However, South Holland District councillors said they were worried about the potential for a road connecting the two areas being used by commuters.
Councillor Roger Gambba-Jones said: “Nobody considers the impact on future residents if this becomes an attractive short-cut from one part of the town to another without any traffic calming measures to deter it.
“The people in the estate will have to suffer of this poor piece of design. The highways authority may not have a problem with it from a design point of view, but residents will have the opposite view when they’re living there day to day.”
Councillor Allan Beal agreed, saying: “If there are two access and egress points, I am sadly concerned that it will become a rat run through the estate.”
An officer said two points was necessary due to the “sheer number of dwellings”.
The development will include 139 homes to go on the market and 46 affordable homes.
This is the second time the application has been approved. The homes were previously given permission in 2009 but this expired when work didn’t begin.
Flood risk proved a concern for ward councillors in the run-up to the meeting.
Councillor Tracey Carter said in an objection: “We are having considerably heavier rainfall in recent years and a number of areas very close to this proposed site experienced horrendous flooding and disruption recently. This will only be worsened by more fields being used for building, removing the natural drainage they offer.”
The homes will be raised by one metre to reduce the chance of flooding.
MP Sir John Hayes had also expressed concern about the burden placed on local infrastructure with so many new homes being constructed.
The developer will be required to make a contribution of £1.1million for local education, and £120,000 to the NHS.
The plans were passed unanimously by the committee.