Harlow Council said a “significant step forward” had been taken for plans for 1,340 homes to be built at Latton Priory.
It comes after a new consultation response from local NHS bosses confirmed a need for a new health centre to support the housing scheme.
The Hertfordshire and West Essex Integrated Care Board (HWE ICB) has submitted a detailed response to the planning application for the new homes on Harlow’s border.
The ICB has assessed the impact of the development and has said a new health centre is needed to serve the expected 3,216 new residents.
This will help protect existing GP services in the town.
The ICB is also seeking almost £1 million in contributions towards mental health and community healthcare services.
These provisions will be secured through a Section 106 legal agreement between the developer and Epping Forest District Council (EFDC).
Harlow Council said this addresses one of the key concerns it raised in its formal objection to the application earlier this year.
Councillor Alastair Gunn, cabinet portfolio holder for garden town and planning, said: “When we officially objected to the Latton Priory application, one of the biggest concerns was the impact on already stretched GP services.
“We’re pleased that, through working together with the NHS and the Harlow & Gilston Garden Town partnership, those concerns have been heard.
“A new health centre could benefit not only new residents but also the wider community in that part of Harlow.
“There are remaining questions about the planning application.
“Harlow Council will continue to play our part on behalf of our residents to get them addressed in the best way possible.
“Additional housing is urgently needed, nationally and locally, but that must be delivered in a way that helps build Harlow’s future.”
The council said it continues to work with EFDC and the developer to resolve other outstanding issues.