Previously, the property was slated to develop into an age-restricted neighborhood that would contain 33 single-family homes. Streets and some utilities were installed but the property has been left vacant since 2015.
Council Member TJ Gilmore said nearby residents expressed some concerns about the property's change in density.
"It is a change of density, but I think [the community is] going to be a good neighbor and quite frankly it is what the market is asking for," he said.
The development, which will be called Normandy Village, will be a gated community and contain private streets that will be maintained by the HOA.
The townhomes are expected to have a price range of high $200,000s to mid-$300,000s.