An Bord Pleanála has granted planning permission to build 199 houses and 44 apartments as well as a crèche in Knockboy in Waterford City.
The number of housing units in the original proposal was reduced by eight houses and ten apartments.
The Board has been criticised by Waterford Fianna Fáil Councillor Adam Wyse for not accepting its own inspectors' recommendation to refuse permission for the €80 million housing development.
It said it didn't accept the recommendation as they believed the plans would provide an amount of open space to serve all elements of the proposed development.
Councillor Wyse says he really wants to see houses built in Waterford, but not the Celtic Tiger style where there is no regard for the people living in the area and those who will live there in the future.
And he says traffic is just one of the main problems with a development of this size in the Knockboy area:
"You saw the amount of mayhem that was caused by a few road works on the Williamstown Road the last number of weeks. Add another thousand cars to that now in the next few years and see what kind of mayhem we actually have to deal with."
"It's not just traffic - there's no public park out in that area, there's no school places left in Ballygunner or any of the national schools; you have no amenities for anyone living in the Ballygunner/Knockboy region; and you're going to have another 300 units and have another thousand people and another thousand cars, and the people that are currently living there are going to be completely forgotten about."