Orient finished this season in 18th place in Division Three

The club needs �9m pounds to redevelop the west stand and north terrace and will get �7.5m from Bellway Homes.

The rebuilding programme will eventually give the club a modern, four-sided ground with a capacity of about 10,500.

Chief executive Steve Dawson said: "This is the culmination of two years hard work and we're over the moon the council approved our plans.

"It was essential for us to take the club and its facilities forward and this will enable us to do so," he told the club's website.

Orient have been severely affected by the loss of revenue from the collapse of ITV Digital, the slump in the transfer market and increased player wages over recent years.

Orient lost just over �750,000 in the year to 30 June and expect a �600,000 loss this year.

The losses, covered by owner Barry Hearn, meant borrowing large sums to rebuild the stadium were "nonsensical".

The Football Foundation will also contribute �1m towards the rebuilding plans with the rest of the money coming from Hearn and his Matchroom Sport company.