Work will begin on Brighton and Hove's flagship i360 tower in June after the Government gave the development final approval.
Groundwork for the 183-metre structure was set for months of delays after business rivals objected to the scheme.
But today the West Pier Trust, the team behind the i360, got the news they had been waiting 12 months to hear when the Department for Transport (DfT) gave its approval for the project.
A Victorian law covering the proposed site had stopped the land, at the base of the West Pier, being leased out for more than three years at a time.
The trust asked the DfT to alter the legislation to allow the i360 to be built on the seafront.
The Noble Organisation, which owns Brighton's Palace Pier, objected to the plans on the grounds the tower would increase competition along the seafront and have a negative affect on their profits.
But the DfT today backed the trust and gave permission for the i360 to be started.
Rachel Clark, general manager of the West Pier Trust, said: "It can only be that Noble were fearful of competition.
"A conservative estimate is that 500,000 visitors will come to the i360 every year. A significant proportion will go on the Palace Pier.
"It will benefit the whole of Brighton. There will be no loss.
"We were always confident the outcome would go our way. It's very good news."
Work to dismantle the shore-side part of the now-derelict West Pier will begin in June.
The i360 was designed by David Marks and Julia Barfield, the architects responsible for the London Eye.
It is estimated the tower will give a £10 million boost to the city's economy and create more than 100 jobs.
It will be double the height of Sussex Heights, which is currently the highest building in the city.
Visitors will be taken to the top of the tower in a giant pod. Views at the top will stretch for up to 25 miles.
Brighton and Hove City Council leader Simon Burgess said: "This has been the one thing holding this development up and making us nervous.
"It will be so nice to see one of these dramatic developments to really get going."
Coun Burgess said there had been concerns the architects would lose patience with the wait for approval and take the proposal elsewhere.
He said: "They could have taken it anywhere. The risk was them contemplating building somewhere else.
"This is fantastic news."
No-one at the Noble Organisation was available for comment when The Argus contacted them tonight.
What do you think? How much of an impact will the i360 have on tourism in the area? Add your comments below.
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