Shropshire Council has approved plans to build nine homes on the old Whittle Bus depot site in Ludlow.
The smaller-scale scheme replaces a rejected proposal for 18 houses, which councillors criticised for poor design and limited space.
Officials say the new plan will enhance the area, reduce traffic, and remove outdated buildings, with detailed designs to follow.
Sheds housing nearly 200,000 broiler chickens at a Herefordshire farm are to be demolished and rebuilt to a higher standard.