A development permit issued today supports a new 150-unit development in Manoora.
An infill development - where housing is built on vacant or underutilised land in established suburbs - the unit proposal will add vital housing stock to the inner city.
Covering land at 164 and 172 Hoare Street and 10-30 Pease Street, the complex is a mix of one and two-bedroom units across three standalone buildings.
Mayor Amy Eden said in-fill development would be crucial to supporting growth while retaining the character of Cairns.
"Our population is set to reach 241,000 by 2050. That's a 32% increase on the current number of residents. And they all need somewhere to live," Cr Eden said.
"Infill housing creates these homes in areas that have existing water, sewer and road infrastructure, and close to services such as health and education, reducing the need for large capital investments to provide these essentials.
"It's a sustainable approach to addressing the housing shortage, while preserving the unique character of our city."
Council has applied for $665,000 in Federal Government funding to deliver the Cairns City Precincts Urban Regeneration Project, a roadmap to guide infill housing in the Cairns CBD and inner suburbs.