OUTLINE approval was granted last week for up to 29 dwellings on a site alongside Kaminski's Garden Centre in Parkwood Road.
A report for West Devon Borough Council's planning committee stated that the principle of development had been established on the site in previous applications for residential development.
Members of the planning committee approved the outline application subject to conditions relating to landscaping, parking, access and design.
The use of the site as a garden centre was also to cease prior to implementation of the development, and the developer should afford access to the Devon County archaeologist to allow observation of 'any works affecting the generating station and to record items of interest'.
The generating station, of early 20th century origin, which is located within the site, was considered to be of important historical value, officers said.
Thirteen letters of objection were received, claiming the proposal would be detrimental to the conservation area, harm existing listed buildings and that there would be an increase in traffic and noise pollution, and an impact on adjoining residents.
Permission had previously been granted for the erection of eleven dwellings on part of the site now being applied for.
The new proposal includes the demolition of existing buildings on the site currently used as part of the garden centre, which will continue trading, but does not include the listed buildings.