Bristol City councillors backed Sainsbury's bid to build on the Memorial Stadium which will now trigger the club's move to a new £40 million stadium on land at the University of the West of England at Filton in South Gloucestershire.
The planning meeting heard arguments against the development, citing traffic and pollution levels. Small business owners said trade on nearby Gloucester Road would be hit by £7.7 million.
But Sainsbury's representatives pledged to work with its new neighbours to mitigate against any impact its arrival might have. It will pay for a new town centre manager for three years, offering free parking for 3 hours to serve Gloucester Road and make changes to surrounding roads.
It's estimated 300 full and part-time jobs will be created by the supermarket and 65 homes will be built.
Rovers chairman Nick Higgs told the meeting Bristol had a chance to put itself on the international sporting map. The club's £40 million venue would have 21,700 seats, with the capacity to increase to 35,000.
The decision will now go to central Government for approval. If, as expected, that is given, work on building the new UWE Stadium could start later this year with Rovers moving home in a couple of years before the supermarket build begins.