Fresh plans have been lodged for more than 100 homes and car parking spaces at land on a major town centre route.
The application has been submitted to West Oxfordshire District Council by Gleeson Land for development of up to 104 homes with 234 car parking spaces east of Burford Road and south of Charlbury Road in Chipping Norton.
A planning paper describes the market town which would host the new housing site as enjoying a "prime location", positioned just off the A44 road which connects it to nearby towns and cities.
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It adds: "Chipping Norton offers a comprehensive range of facilities and services, catering to the needs of its residents.
"The market square hosts a weekly market where local produce, crafts, and antiques are on display.
"Essential services like post offices, pharmacies, and healthcare centres are readily available, ensuring the well-being of the community.
"The proposed amount, layout and mix of housing will deliver both market and affordable market housing, for which there is a known demand in the town and which will make a worthwhile contribution toward the ever growing social housing requirement of this area and the district.
"A mix of house types and sizes is proposed to provide for starter homes and families."
Outline planning permission has been submitted for the development meaning design-related details would be finalised at a later date.
The proposed development will include up to 40 per cent affordable housing which is equivalent to 42 affordable homes.
Existing bus stops on Burford Road would provide links to surrounding villages including Stow-on-the-Wold, Burford, Charlbury, Witney and Chipping Norton centre itself.
The closest railway stations are Kingham and Charlbury which are located seven km and 7.9km south of the site respectively.
It comes as national housebuilder Cala Homes bought land south of Banbury Road in Chipping Norton in February which has consent for 90 new homes.
The majority of the town and land to the east forms part of the Cotswold Area of Outstanding Natural Beauty and the Burford Road site lies on one of the key arterial routes into the town centre.
Land to the east of Chipping Norton is identified for development in the council Local Plan as a proposal for a sustainable, integrated neighbourhood that forms a "positive addition to the town", accommodating about 1,200 homes and five hectares of land for businesses.
A planning statement for the Burford Road development concludes: "There are a number of focal places within the site which could be used as meeting places or places for interaction including the new children’s play area and amenity space."
Former Top Gear star Jeremy Clarkson, who moved to Chipping Norton, 30 years ago said last year the market town has "too many houses".
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