Exeter is to become home to a new garden community of up to 20,000 new homes.
The project is part of a deal for the south-west with the homes built by 2040.
The Government is to provide £750,000 to fund dedicated project teams who will work with three councils - Exeter City Council, East Devon Council and Teignbridge District Council - to push forward the planning.
Urgent push to build
Kit Malthouse, the Minister of State for Housing, said: "This is fantastic news for Exeter and the surrounding area. We are making an urgent push to build more, better, faster, and it is good to see the authorities working together to plan 20,000 much-needed properties built in Devon.
"The project is the latest step towards meeting our aim of building 300,000 homes a year by the mid 20-20s in the area where people need them the most."
The Greater Exeter scheme will join 28 existing garden communities schemes across England that are being supported by the Government.