Newark & Sherwood Council approved the application by the Trustees of the Thoresby Settlement for land off Mansfield Road, despite opposition from some residents and councillors.
However, the site is in the local Development Plan, meaning any decision contrary to the recommendation leaves the council vulnerable to costs if the plans went to appeal.
Counr Celia Brooks, representing Edwinstowe Parish Council, which objected to the application said: “A couple of years ago, we had a population of 5,200 people.
“We now have a potential for 7,500 to 8,000 within a six-year period. That’s a big growth in population and a lot of villagers find that hard to take.
“Locals find it hard to accept we need all of this in addition to what has been put on the Thoresby Colliery site.”
Coun Tim Wildgust, member for Boughton, said: “I feel like I’ve got my hands tied behind my back, because we don’t seem to have a lot of choice.
“I have concerns about Edwinstowe’s infrastructure. Conversely, there isn’t much we can do about it, which I find frustrating.”
Coun Paul Peacock, member for Edwinstowe & Clipstone, said: “Edwinstowe doesn’t need any more houses, it has taken its fair share.
“I am contacted regularly by people who have waited too long to see a GP, people can’t get a place for their children at local schools, people with disabilities unable to get to local shops because there are no parking spaces available.
“Mansfield Road is a busy road. Over the year there have been lots of near misses and crashes.
“he proposed junction onto the site would create further problems, adding more danger to an already dangerous stretch of road.”
Coun Roger Blaney, meeting chairman, said: “While I may be sympathetic to the argument Coun Peacock has put forward, that the scale of development in Edwinstowe is excessive, our hands are largely tied as a result of the council’s development plan.”
The application stated: “The development will be a highly desirable place to live.
“The aim is to achieve a development with a strong identity and distinct sense of place, while at the same time integrating with the existing community.”