An Bord Pleanala has approved a major housing development in Rahoon.
The development of 144 homes on a site to the south of Letteragh road will be a mix of houses, duplex units and apartments, as well as a creche.
The project was initially rejected by city planners last year, prompting an appeal by developer Cairn Homes Properties Limited.
An Bord Pleanala's inspector also recommended refusal - but was overruled by the board, who have now granted permission with 24 conditions attached.
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They include that developed be carried out on a phased basis, to ensure timely provision of services for future occupants.