A controversial plan to build 40 homes in the village of Westcott has been rejected by a local authority
Mole Valley District Council said the proposal was "wholly out of character" for the village, near Dorking.
Campaigners, who said the area was one of outstanding natural beauty, said they were delighted by the decision.
In a statement, the developer Taylor Wimpey said it was "extremely disappointed" and was considering its next steps.
Edwina Gordon, of the Westcott Meadow Action Group, said: "It's something that as a village we've all felt so strongly about and we have been fighting consistently and incessantly."
Clare Curran, the council's portfolio holder for planning, said: "The ball is now back in Taylor Wimpey's court as to what they would do there.
"I think we have to recognise this site would be very difficult to develop and the proposals put forward for development were wholly out of character."