Plans to build on the former Newmarket Conservative Club, which closed in 2009, took a step forward on Tuesday.
An application for nine flats and two shops on the Exeter Road plot was given the backing by Newmarket town councillors at a planning committee meeting.
Cllr Michael Jeffreys said: “It meets our housing need which we know is critical, as well as putting shop fronts on the main road. I think it’s an admirable application.”
Committee chairman, John Berry, added: “It’s a good use of a plot that is worse than useless.”