Up to 91 new homes can be built in Thorney after planning approval was granted.
Building works can now take place on land south of Sandpit Road after no opposition was raised against the proposals by Sly Developments Ltd.
The development would see three farm buildings demolished and new access to the site off Wisbech Road.
In addition, 30 per cent of the properties (27) would be affordable homes.
The application received unanimous approval from members of Peterborough City Council’s planning committee and was also backed by city MP Stewart Jackson.
Council planning officers had recommended that the application be approved.
Councillor Peter Hiller said: “You’ve had tacit approval with no objections from local residents. I see no reason to refuse this.”