Vale Council has admitted there will be more capacity than expected for controversial portable homes in Llantwit Major.
Over 90 units, built on the site of the former Eagleswell school, were initially intended only for Ukranian refugees fleeing the war.
But the council now says it now appears the site will have more capacity than anticipated - with the first residents due to move in "later this summer".
In a statement on Friday, a spokesperson said the single and two-storey units would also be used by couples and families on the council's housing waiting list.
The statement added: "The provision of temporary homes at this site is in line with the council’s commitment to assist those who have suffered forced displacement as a result of the conflict in Ukraine and also reflects an urgent need to increase the availability of homes at a time when there is a significant shortage of housing and a growing waiting list and increasing levels of homelessness."
"The use of the site will be important in easing the pressure for council housing and will also represent a far more dignified solution than the use of substantially more expensive and cramped temporary hotel accommodation."
It cost £24 million for the council and the Welsh Government to build the temporary accommodation - but the local authority insists much of that money is recoverable as the units are reusable and have a 60 year lifepsan.
The units were built under special planning powers known as permitted development rights - usually invoked in an emergency - but the scheme must secure planning permission within a year of the start of construction.
Councillors approved the scheme at a meeting on Friday 19th July, on condition that an exit strategy is drawn up for the site.
The council says a written plan to remove the units and move them elsewhere must be sent to the planning committee for approval within the next 12 months.
But residents living nearby say the development in its current form is an eyesore - and argue trust in the planning process has been lost.
In May, an action group said it was preparing to take legal action against Vale Council, arguing it had used permitted development rights unlawfully.
A lawyer representing the group told the Local Democracy Reporting Service (LDRS) that such powers should only be used to carry out a specified development in an emergency which threatens serious damage to human welfare in a place in the UK.
The council's statement adds: "This planning approval has been conditioned so that the units will stay in place for a maximum of five years before they must be dismantled and moved to another location."
"The council’s planning committee received a range of representations regarding the application, all of which were considered as part of the decision-making process, with some objecting to the appearance of the development and its proximity to nearby properties."
"Boundary fencing and landscaping has been installed to help address these concerns, along with the use of opaque glazing to help maintain privacy."
"In addition, within the next 12 months, a written plan to remove the units to alternative sites must be submitted to planning committee for approval."
"This work is to begin 18-months before the expiry of the five-year planning permission, with the units nearest to neighbouring residential properties being removed first to reflect the concerns of neighbouring residents."
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