A developer has withdrawn its controversial application to build a 5,000-home eco-town in Staffordshire.
The Curborough Consortium said it still wants to develop the Fradley Airfield site near Lichfield but would look at what improvements could be made.
It said it had withdrawn its bid after discussions with the Department of Communities and Local Government.
The plan was recently criticised in a government report for having an eco element which felt like an "add-on".
The site was one of 15 selected by the government as potential sites for its new eco-towns.
Affordable homes
The Curborough application had also been opposed by some local residents who were worried about the increase in traffic.
The consortium's plans for the site would have included 2,000 affordable houses in an high house prices area.
A spokesperson for the consortium said "We were delighted to have been short listed and have fully engaged in the eco-town process.
"It is with regret that we feel we must withdraw our bid, however, we remain committed to the principles behind the eco-town agenda.
The spokesperson added: "We are pleased that the government has recognised the merits of the location of our scheme and has commended it as being a good development by normal standards.
"Going forward, we will continue to pursue our planning application for a new settlement at Curborough and will look to ways by which our application can benefit from our discussions with the eco-town challenge panel."
The consortium consists of Hallam Land, Banks Development, Redrow Homes and Gleeson Homes.
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