Four blocks of flats, between 10 and 14 storeys high, will be erected on a brownfield site at Ocean Drive, on the edge of Albert Dock.
There will also be 71 on-site car parking spaces at the Skyliner site, and 25% of the homes will be classed as affordable housing. The plans were approved by a City of Edinburgh Council sub-committee.
A key element of the scheme is delivery of a new public boardwalk, served by established cycle routes and the new tram connection, which will provide the local area with a fantastic new amenity space.Luke McClelland, Project manager, S1 Developments
Developer S1 Developments, which owns the site, expects the scheme to be completed by 2022.
Project manager Luke McClelland said the firm wanted to breathe new life into a "long-neglected" part of Leith.
Legal & General is funding the project...