Controversial plans to build 355 houses on Stradey Park in Llanelli could be called in by the Welsh Assembly Government to make a decision.
The Taylor Wimpey application, for the old Llanelli RFC ground, was deferred by Carmarthenshire council on Thursday.
The assembly government said it would confirm "shortly" whether or not it would make a decision on the plans.
Llanelli played their last game at Stradey Park in 2008.
An assembly government spokesman said: "Recent call-in requests have raised issues relating to flooding at the site.
"This has necessitated further consultation with the Environment Agency Wales to assist consideratioin of whether the application should be called in," he added.
The plan was due to be discussed by Carmarthenshire council, but that decision was deferred pending a further site visit next month.
Planning officials had initially recommended the scheme for approval.
But because the application might be called in Carmarthenshire council are now prevented from granting any approvals.
"The decision on whether or not to call in the application will be taken as soon as possible," the assembly government spokesman added.