Plans to build 600 homes on fields on the outskirts of Bridlington have been drastically cut, following concerns about how close it is to a sewage works.
East Riding Council had proposed to allocate land at Strawberry Fields, on Kingsgate, currently used for car boot sales, for 615 homes.
But the figure has been cut by nearly two-thirds, to 219, after Yorkshire Water said it was too close to their waste water treatment works.
Concerns had also been raised by residents over the volume of housing, and how local facilities would cope.
The change is among a number of revisions to the draft local plan for the East Riding, which is now out for final comments.
A spokesman for Yorkshire Water said: “We did suggest that it wouldn’t be great to have that many homes near the waste water works. One of the reasons it was put there was there weren’t many people in the area at the time. We obviously don’t guarantee anything about smells in the long run.”
Stephen Hunt, the council’s planning policy manager, said it showed they listened to consultation.
A spokesman for Pegasus planning consultants said Yorkshire Water had asked them to remodel their odour assessments in case they needed to expand onto an adjacent field, bringing them closer to the housing development.
He added: “This is taking a precautionary view which we don’t dispute. Until the final odour assessment is done no-one can be certain at this stage how many houses will be developed.”
In all 19 draft allocations have been removed – and 19 others added.
The draft local plan assumes 23,800 houses will be built in the East Riding by 2029, or a rate of 1,400 houses a year.
Between 1997 and the downturn in 2007, 1,500 houses were being built a year.
At their lowest point in 2009 just 341 were constructed but the figures are slowly creeping back up.