Fears had been voiced about the Morris Homes plan for a plot off Wateringpool Lane in Lostock Hall previously designated as public open space.
Reassurances were sought from senior councillors at the latest meeting of South Ribble Borough Council.
But Coun Cliff Hughes, lead member for planning, said it was a case of wait and see with the application due to go through the planning process.
He told the Lancashire Post: “It looks like it will go to the planning committee in August.
“Everything will be taken into account, people will be asked for their objections and we will see what will happen.”
The site is subject to a unilateral undertaking as part of the deal for the adjacent 80-strong St James’ Field housing estate.
But developers Morris Homes have applied to revise the agreement because the land was said to be in the blast exclusion zone for the gas holders on the opposite side of Wateringpool Lane.
As the structures have now been decommissioned, the firm hopes to convince planners it should no longer be designated as public open space. They have bid to build seven properties with a 15-space car park.
Coun Hughes said he understood residents’ concerns but there was little to be discussed before the planning process had taken its course.
He added: “Those who have bought the houses overlooking Wateringpool Lane may not be happy other houses could be built (on the land inbetween).”
The planning committee meeting takes place on August 23.
The application has received almost 20 objections from residents.
Related article: Housing bid to be raised at council