The planning application for the development of the Wansdyke Business Centre into student accommodation has been refused by the planning committee at Bath and North East Somerset Council.
The application was made for 126 student studios, alongside multiple commercial units and a fitness centre.
Ben Howlett, the prospective Conservative parliamentary candidate supported local campaigners in Oldfield to oppose plans to build more student accommodation upon the old industrial site since the plans were first submitted.
A recent protest led by local resident Sarah Pearcy, showed the strength of concern for the rise of student accommodation in Bath and highlighted the need for more homes for lower income families in the city.
Ben also objected to proposed student developments at the old Pickfords site and the Old Gasworks on the Upper Bristol Road.
Mr Howlett said: “I am really pleased that the planning committee has listened to the views of residents and refused the application for the proposed development on this site.
“There is a shortage of commercial units and affordable housing in Bath and more land should be allocated to the development of these sorts of premises.
“We need to encourage student accommodation to be built on land available at Bath and Bath Spa University campuses, freeing up more development space for non-student residents in other parts of Bath.
“If re-elected next week I will continue to represent residents in campaigns such as this to ensure that housing developments across the city meet the needs of all residents as well as ensuring commercial premises are available.
“I would like to thank the Councillors who have also opposed this planning application, as well as residents who have campaigned successfully to ensure this development does not go ahead.
“It is crucial we continue to find land to build more affordable homes for families, whilst accommodating increasing student numbers in Bath.”