Councillors have approved alterations to the contentious project that will see a swathe of office buildings converted to residential.
This is understood to be because of a last-minute Section 106 agreement that increased the required level of affordable housing.
Despite approving the original plans, and with work on the £350 million development ready to begin, the alterations to the 10,000m 2Edinburgh Royal Infirmary designs were forced through.
This is not the first time the project has faced problems. Throughout planning it was beset with passionate criticism from local conservation groups, who claimed its height and mass would damage the historic setting.
However, councillors described the new designs as 'an improvement' on the previous plans, although they originally gave the office block the green light.