Developers have been given the go ahead to build a huge new homes complex in Sutton Coldfield town centre.

Cala Homes is set to create 295 flats, four shops, two restaurants and a fitness centre on an area of private land between the railway line in the town and the Gracechurch Shopping Centre on Brassington Avenue.

The final height of the £50 million development has been reduced by the company by one level to a ten-storey development.

Cala will also be required to spend £ 500,000 on developing "open space facilities" in Sutton.

These include £293,000 on the new visitor attraction centre in Sutton Park and on an urban design study centre, and £210,000 on a park-andride scheme for residents.

Business leaders including Sir Digby Jones, directorgeneral of the CBI, and Jerry Blackett, Birmingham Chamber of Commerce's policy director, had given their backing to the development and said it would send out the message that Sutton was open to investment.

Alan Brown, managing director of Cala Homes in the Midlands, said he was delighted that planning permission had been granted.

"Having had the previous scheme refused, we committed considerable time and effort in addressing the design, height and massing issues raised by the committee members and some local residents."

He said they were now, in accordance with the wishes of residents, using more traditional materials for the building, reducing the number of dwellings by four, and adding a further 200 parking spaces.

"While it was not possible to accommodate every single suggestion, we listened and responded to all the major issues."

Campaigners against the scheme had protested that the development was too large for the character of Sutton town centre and were concerned about the extra traffic it would generate.