An Bord Pleanála has approved the development of a five-star hotel with 60 holiday homes at the ruins of 19th century castle in Co Roscommon.
The board's decision to approve the €50 million project at Kilronan Castle, the former home of the Earls of Kingston, was welcomed by local community leaders, who said the area had been economically struggling since the closure of the nearby Arigna coal mines in 1990.
At its peak Arigna mines and power station employed 600 people.
The board has reduced the number of holiday homes permitted on the 49 acre site from 110 to 60 and has given approval subject to 27 conditions.
The developers, the Hanley Group from Co Roscommon, also welcomed the "fair-minded" decision.
Group general manager Vincent O'Connor said it was hoped that work could start on the site, on the shores of Lough Meelagh, within weeks, subject to conditions laid down by the board having been met.
He said the company planned to construct a luxury flagship hotel "along the lines of Dromoland Castle or Ashford".
Three separate appeals had been lodged with An Bord Pleanála on behalf of An Taisce, the Cavan and Leitrim Environmental Awareness Network (Clean) and a couple who disputed ownership of the property.
In its submission An Taisce accepted the need for a "quality tourism accommodation" in the area but said a tourism project in a historic and architecturally distinguished site should not undermine "the very qualities that make the site significant".
Clean described Kilronan as a hidden jewel and had accused the developers of "bad taste".
The decision to approve the project, which is set to create up to 200 jobs when fully operational, came as a relief to local campaigners as the board had recently rejected proposals for a 100-bedroom hotel and 100 holiday homes at the nearby Lough Key Forest Park.
In its ruling, the board found that the approved project would not have an adverse impact on the cultural heritage of Kilronan Castle.