Project Pinewood - first announced in November - could now include just 1,500 houses among the permanent standing film and TV sets at the studio and incorporate an industry training facility as well as a range of local amenities including a school and health centre.
The reduction was agreed after neighbouring villages raised concerns about potential traffic congestion and noise.
Also, after a number of objections to building on up to 44 hectares of greenbelt land, Pinewood has now guaranteed that 70% of the area will remain open land.
“We've been listening closely to the local community and have reduced the number of residences. In addition to this, we have incorporated other feedback into our latest proposals,” said Pinewood Shepperton's corporate affairs director, Andrew Smith.
Smith confirmed that the planning application - thought to have cost Pinewood around£3m - hinges on the creation of these private dwellings. “The housing element will pay for the creative elements of the project,” he said.
If the project goes ahead it has been estimated that it will cost around£200m and will create 2,000 permanent jobs within the creative industries.
Smith added that the project is also in discussions with the National Film and Television school to set up an onsite training facility that would offer foundation courses in 20 different craft disciplines, catering for around 120 students per academic year.
Other efforts to appease locals and cater for the increased population include the creation of a multi-purpose community facility, a primary school, health facilities and sports/play areas.
Pinewood is due to submit its final application to South Buckinghamshire District Council later this year.
In the event that the scheme is rejected, an independent planning inspector from central government will assess whether it is in the national interest to encroach on greenbelt land.
Smith said that he is confident that if the project is green lit, Pinewood could start the building programme by 2011.