Plans for the Balgillo Heights project were rejected by Dundee councillors in June, despite officers had recommending the plan for approval.

Members of Dundee City Council’s planning committee rejected the proposals because they did not fit in with the then local development plan.

Pleas from developer Kirkwood Homes that the scheme would fit in with the new local development plan fell on deaf ears.

The new local development plan states there is room for 250 homes on the site.

The Scottish Government has now decided Kirkwood Homes can proceed with the development, which will mean they do not need to submit a new planning application to Dundee City Council.

Colin Crombie, Kirkwood Homes’ managing director, said: “We were always confident that our proposals were well considered and appropriate for the site.

“Dundee remains a key area for investment for Kirkwood Homes, and we look forward to bringing forward not just these new homes at Balgillo Heights, but also investing further into Dundee.”

More than 600 people registered interested in buying one of the new homes during a public consultation exercise last year.

The Scottish Government-appointed Reporter said he was minded to grant permission for the development but there will be planning obligations the developer must meet.

These include a contribution of £750,000, or £5,000 per house, for a new primary school and improvements to the Claypotts junction in order to ease congestion.