A Government inspector has rejected an appeal for five new homes to be built on land at Crockleford Heath.
Allens Farm Properties Ltd submitted the outline scheme for the site south of Bromley Road which was refused by Tendring District Council (TDC) in June.
The company went to appeal in a bid to get that decision overturned but has been unsuccessful.
Planning Inspector Grahame Gould came down in favour of TDC and agreed that the development would be harmful to the character and appearance of the area.
“I consider that the adverse impacts of granting permission would significantly and demonstrably outweigh the modest housing supply benefits,” he added.
“The harm I have identified gives rise to conflict with both local and national policy and it would be an unsustainable form of development.”
The proposal involved building the properties on part of a large agricultural field.