PLANS to build 18 affordable homes in Polperro have been approved by Cornwall Council's east sub-area planning committee.
Permission was granted for two one-bedroom flats, ten two-bed houses, five three-bed houses and one four-bed house to be built in the village.
Cornwall Councillor for Looe West and Lansallos, Edwinna Hannaford, said: "The fundamental question was 'is the damage to the Area of Outstanding Natural Beauty (AONB) of lesser importance than the 62 people in Polperro who are on the housing needs register?'
"It was an extremely finely balanced application."
In his final report, Cornwall Council case officer Gavin Smith said: "A balance must be struck between the degree of landscape harm to the AONB and heritage coast and the benefits of providing affordable housing in this rural location.
"A site selection analysis has occurred in consultation with the parish council and this site has been judged as the preferred option.
"It is concluded that the community benefit of the scheme, being the provision of local affordable housing, would outweigh the anticipated level of harm to the surrounding landscape – albeit on fine balance."