Affordable housing which was earmarked as part of a housing scheme could be lost because of a lack of interest in the site.
Jane Nolan told members of East Chevington Parish Council on Monday that she has been unable to sell the former Shark Sports site, in North Broomhill, despite actively marketing it.
Outline planning permission was granted in 2010 for 18 homes, with 40 per cent affordable.
Mrs Nolan needs to reapply for planning permission. But industry feedback has suggested that the amount of affordable housing attached is no longer viable and she is having to request that the county council considers taking the requirement out.
She said: “We have tried to sell it and have contacted national/regional firms and housing associations, and even reduced the price.
“It has coincided with a downturn in the construction industry and the feedback we have had is that it is not viable to have that level of affordable housing and we are going to have to ask for it to not have that particular requirement on it.
“We want it to be sold /developed so it can add to the village.”
Parish council chairman Scott Dickinson said he feared it could lead to holiday homes and be financially out of reach for locals with a housing need.