It is the biggest application that has been submitted so far this year.
Scottish investment company Abrdn has submitted the plan for the Forbury Retail Park near the town centre, which involves demolishing big box stores and replacing them with 12 residential towers.
The site is currently home to Furniture Village, DFS and Nattuzi Italia.
The plan would also see the KFC drive-thru in the retail park flattened to make way for the development.
Meanwhile, the neighbouring McDonald’s drive-thru would be spared.
The housing mix has not been determined yet, but a mixture of one, two and three-bed units has been envisaged for the site.
Indicative sketches show each home coming with an open plan kitchen living room area and a shower toilet.
Initially, Abrdn wanted to build up to 900 homes when early stage plans were revealed in February last year but that number has now been reduced to 820.
At the time, the hopeful developers touted the environmental benefits that the scheme would bring.
Sketches show the tarmac car park being replaced with paved space and trees and hedges standing at the foot of the proposed towers.
A spokesperson for Abrdn said: “We’re excited to unveil our plans for this significant regeneration scheme, which seeks to make more of this sustainable, central site by creating a new community that puts green public spaces first.
“Half of the site will be set aside for landscaped green spaces, significantly increasing biodiversity.
“It’s an exciting proposal that seeks to show our ethos of responsible development, delivering a thoughtful, well designed and attractive scheme which reflects its surroundings.”
While the council has a policy of 30 per cent of developments being turned over to affordable housing, it appears Abrdn would not be able to meet that requirement.
Abrdn’s planning agents have submitted a viability assessment that concludes that the proposed development would be “unable to support a provision of affordable housing.”
Car parking spaces for future occupants would be contained in the basements of the new residential buildings, with up to 200 car spaces and 860 cycle spaces being provided.
Meanwhile, 53 car parking spaces would be reserved for the new commercial floorspace.
The stores that would be lost would be replaced with up to 5,500 sqm of flexible floorspace which could accommodate a foodstore in the western portion of the site.
You can view the application by typing reference 230822 into the council’s planning portal.
It is one of the biggest plans that have been applied for in the town, only surpassed by the massive 1,300 flat Station Hill development.
Abrdn is also seeking to replace the former John Lewis warehouse in Mill Lane with homes as well.
However, a plan for that proposal has not been submitted yet.