This qualitative study investigated students` perspectives and the effectiveness of blended learning in the development of L2 listening skills at university level. 20 university students participated in the study for 16 weeks. Data from students` reflective journals, interviews, online, and offline observations, a survey, and pre and post tests were collected to address the following research questions: 1) What are the students` perspectives on the listening instruction in blended learning?; 2) What is the students` preference for the listening activities?; 3) To what extent does collaborative interaction help develop students` L2 listening skills?; and 4) What are the effects of the blended learning model on the development of L2 listening skills. The results indicate that there was a similarity in preference for online and offline activities. There was a difference, however, in while-listening stage activities with filling out the outline being the most preferred activity for offline work and summary being the most preferred for work done online. Group collaboration promoted through the blended learning model seems to have contributed to the development of L2 listening skills. A major implication is that an optimal design and the successful implementation of the blended learning model in listening instruction require the teacher to play a crucial role as a designer, a selector of effective activities, materials and multimedia tools, and a monitor who provides timely scaffolding.