Parliamentary Under Secretary of State for Planning Nick Bowles has now rubber-stamped the scheme.
The planning application was referred to Parliament following objections by English Heritage.
Cliff Crown, Brentford FC Chairman, said: “Nick Boles’ confirmation of the decision of the GLA and Hounslow Council is great news.
“Our vision of an exciting new hub at this brownfield site has taken another major step forward.
“We firmly believe this is a once in a generation chance to create a vibrant new stadium that will add to the buzz that is going on around Brentford.
“As we said this week at the annual international property event MIPIM, Brentford is on the up as a destination, with new homes, retail, sports and leisure facilities which bring new jobs and vibrancy to the area.”
Willmott Dixon’s development arm Regen has teamed up with the club to realise its plan to move from its current Griffin Park ground to a modern stadium at nearby Lionel Road South.
Willmott Dixon will build new homes in 11 tower blocks of seven to 17-storeys surrounding the Lionel Road South brownfield site.
It will then deliver further homes on the existing Griffin Park ground once the club relocates to its new home.
Proceeds from the sale of the housing land with outline permission will be used to help finance the stadium build, which in total will cost £70m.
The stadium is set to be completed by 2016, while the residential development will be finished by 2023.