The Terenure Hebrew Congregation has got the green light for a 292-seat synagogue and around 30 apartments on the Rathfarnham Road in Dublin 6W.

However, An Bord Pleanála has ruled that the congregation must reduce the three apartment blocks from four storeys to three after nearby residents expressed concerns about overlooking.

Dublin City Council had previously granted permission for the new synagogue but had ruled that the number of apartments be reduced to 26.

In a first party appeal to An Bord Pleanála, the Trustees of Terenure Hebrew Congregation said that such a reduction of apartments would constitute an inefficient use of a town centre site close to Terenure village, which is well-serviced by public transport and recreational parkland.

An Bord Pleanála agreed with the congregation that the reduction of the apartment scheme by nine units was excessive and reduced it to five.

Two third party appeals were lodged to An Bord Pleanála, one by a resident of Wasdale Park, Terenure who said he had no objection to the development in principle but objected to windows and balconies in two blocks and their balconies which face towards his property. He said this would result in overlooking, loss of privacy and reduce the value of his property.

Another local with an address at Rathfarnham Road said two of the blocks would overlook her property resulting in a loss of privacy and that a four-storey apartment building in this location is "ridiculous". She feared that she would lose the privacy she has enjoyed for over 40 years and said, while she is "not against change", the proposed development is unsuitable for the location.

The Hebrew Congregation is building a new synagogue because its existing 1952-built facility is too large for its needs.

It maintains that the internal two floors of main worship space do not give the intimacy required by smaller numbers and that traffic noise from the Rathfarnham Road is a problem.

The replacement synagogue will be situated to the rear of the site, which will also alleviate security issues.

According to the congregation, the residential element of the scheme will contribute towards the running costs of the synagogue - and some may be used for safe community housing for members of the Jewish community.

The existing synagogue, caretaker's house and storage buildings will be demolished but the community hall will be retained.

The proposal also included a 35-space basement car-park for residents.

A condition of permission is that the memorial stone for those killed during the Holocaust will be relocated behind the low wall separating the synagogue and hall from the residential units.