The state’s highest court has sided with a developer of an affordable housing development in Canton that the town wanted to reject because it had already reached the state-mandated threshold for affordable housing.

At issue was a proposal by Canton Property Holding to build 227 housing units under the state’s Chapter 40B affordable housing law. The town initially denied the project in 2003, and the developer appealed to the state Housing Appeals Committee.

At the time the town rejected the development, less than 10 percent of Canton’s housing stock was deemed affordable. But as the developer was in the midst of appealing, the town approved other projects that put it above the 10 percent threshold and said the Housing Appeals Committee lost its authority on the matter.

The Supreme Judicial Court backed the Housing Appeals Committee’s decision to grant a permit for the project.