A crowd of up to 200 people gathered at the entrance of Willow Park, just off the Fethard Road, this afternoon blocking the various Sierra crew from entering the development.
Up to half a dozen Gardaí attended the scene and protesters agreed to end their demonstration once the construction workers had pulled away.
They are vowing to continue this action tomorrow and into the future if the crews return.
The protesters included residents from other estates in the town, along with local councillors and members of Clonmel Sinn Féin who organised the action.
Meanwhile, Tipperary's Environment Minister says he won't rule out giving the Revenue Commissioners the right to chase unpaid water bills.
Alan Kelly says he can't rule anything in or out until new plans have been approved by the cabinet.
He's also refused to comment on whether some people could face higher water charges in return for others having their charges cut.
The Labour Minister says decisions should be made by the whole government, and they're not up to him alone.
