A long-vacant parking garage in downtown North Andover is set for a major transformation after the Zoning Board of Appeals approved plans for a 280-unit apartment community.

The project will replace the former Davis & Furber Mills parking garage at Prescott and High streets with two apartment buildings, a new parking garage, and 70 affordable housing units.

The approval follows more than 10 public hearings that began last fall.

Developer RCG LLC, which already owns much of the Davis & Furber Mills complex, says the project is aimed at meeting demand for housing among young professionals and residents looking to downsize while staying in North Andover.

The mixed-income development will include 280 rental apartments, with 70 units permanently reserved for households earning up to 80% of the area's median income. The remaining apartments will be rented at market rates.

During the final hearing, the ZBA chair said North Andover's lack of affordable housing has made it increasingly difficult for middle-class families to live in town, calling the project an opportunity to help address that challenge.

The development was approved under Massachusetts Chapter 40B, a state law that allows affordable housing projects greater flexibility in communities that have not met the state's affordable housing goals.

RCG already operates the neighboring Davis & Furber Mills campus, home to more than 100 businesses, four restaurants, and dozens of loft apartments, making this project the next major phase of the mill district's redevelopment.

No construction schedule has been announced, but the project must still go through the building permit process before work can begin.