A memorial square of apartments and a market is to be built at the Prince of Wales' "model village" in Dorset, in memory of the Queen Mother.
Planners at West Dorset District Council approved proposals for Queen Mother Square at the heart of Poundbury, near Dorchester, Dorset.
The village was designed by the prince to encourage integrated affordable, social and private housing.
Work is likely to start in the spring and will take 18 months to two years.
The new square will have a cafe, market, 72 flats and a small supermarket with an underground car park.
Construction began in Poundbury in 1993 and the village now has more than 1,000 people living in a mixture of affordable, social and privately-owned housing, designed to be indistinguishable from one another.