Towers planned for a car park in Como Street will not exceed nine storeys, the council says, down from the original 12.
The number of homes has also dropped to a maximum of 137, from around 175. The flats will be spread across five blocks, standing four storeys, six storeys, seven storeys, eight storeys and nine storeys tall respectively.
A terrace of four three-storey townhouses has also been proposed, alongside five shops at the end of North Street.
A formal planning application is yet to be put forward by the council’s construction company Mercury Land Holdings (MLH), which will handle the development.
Councillor Graham Williamson, cabinet member for development and regeneration, said in a statement: “By reducing the height of the Como Street development, we believe we have found a balanced solution that respects the wishes of our residents while meeting our development and financial goals, as we continue to prioritise the voices of Havering residents in shaping the future of our borough.”
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He added the council was “honouring our election promise not to allow overdevelopment,” while “trying to balance the need for homes for local people in the borough”.
Ahead of a meeting with top councillors in August, residents said the area was unsuitable for major development.
Stating that existing homes risked being overshadowed, residents said the council needed to find the “right solution in the right place”.
Conservative councillor David Taylor, who has been campaigning against “unsuitable” proposals in the area, said he was grateful the height limit had been lowered.
He added: “With Romford already containing many empty shops, I am unsure we need retail units on that site, and I would hope that removing those can further reduce the height of the blocks.
“I will continue to work with the local residents, to represent their view on the development, and hope we can continue to have meetings with the council and developer over the proposals.
“By working together, I am certain we can preserve and enhance the character of the area, as having a unique identity from that of the town centre.”
Havering is now projecting a £75million budget gap for 2025/26, after falling short by £32.5m this year.
One of the biggest pressures it faces is housing, and the town hall has been forced to keep at-risk residents in expensive hotels and bed-and-breakfast-style accommodation due to a shortage of homes.
In May, councillors green-lit plans to sell four car parks to its holding company in anticipation of housing schemes being drafted up.
In the meantime, the council will rent the car parks back from MLH, which is entirely owned by the town hall, at a very low, or “peppercorn,” rate.
