The business community has welcomed the "thawing of icy relations" between Coventry Airport and the local planning authority.
They believe Monday's decision by Warwick District Council to enter into an agreement with the airport will allow Coventry to take its place on the international map.
Brian Woods-Scawen, the chairman of the Coventry, Solihull and Warwickshire Partnership, has welcomed the decision, which diminishes the political threat to the Baginton airport's expansion into passenger operations.
"It is vital for the future economic prosperity of Coventry that the airport grows," he said. "Future jobs and investment were reliant on this decision and I'm delighted that common sense has prevailed."
Mr Woods-Scawen, who recently chaired Birmingham's bid to become European Capital of Culture, added: "Coventry has been hit badly in recent months with the loss of jobs in the manufacturing industry.
"But the success of the airport will give the city the opportunity to attract new investors in other sectors to recover from this blow.
"With the local authority agreeing to the expansion and the opening of the Ricoh Arena development in Coventry next month, these are exciting times to be involved in the regeneration of the city."
Warwick's planning committee agreed to a package of mitigation measures which will allow it some control over noise and the number of flights, where previously it had none. At the specially-convened meeting on Monday, it also gave permission for a 2,000-space car park.
Although protesters against the airport are viewing the decision as a U-turn in the council's year-long legal opposition to the airport, the council is maintaining that it has not dropped its technical objections to the current temporary terminal, which sparked a High Court challenge and a public inquiry. The Secretary of State is due to rule on the terminal by the end of the year.