Birmingham City Council have deferred a decision on Warwickshire County Cricket Club's planning application to redevelop their Edgbaston home.
The Bears hope to open up the Pershore Road side of the ground to help secure its international future.
"Whilst we understand the concerns of some local residents we would hope the wider benefits were clear," said chief executive Colin Povey.
The club has been asked to undertake a further round of consultation.
The council will also continue to investigate the impact on highways and the intensity of the development, while considering the future of the inhabitants of 12 houses that would be demolished as part of the development.
Several other cities, including Manchester, will see this as Birmingham shooting itself in the foot
Warwickshire chief executive Colin Povey
Povey said: "If Birmingham is serious about being an international city, this sort of scheme is exactly what is required.
"£12m of annual benefit to the local economy and thousands of jobs that would have been created by the scheme are at risk if this doesn't go ahead.
"There is no doubt that several other cities, including Manchester, will see this as Birmingham shooting itself in the foot.
"All grounds need to meet the criteria for staging international matches by 2011 and there is no doubt time is running out for us whilst others are already moving ahead with their plans."
With an increasing amount of international cricket being staged in Chester-le-Street, Southampton and now Cardiff, the traditional Test match venues are under pressure to improve their facilities.
Warwickshire are concerned Edgbaston runs the risk of following Old Trafford's example - Lancashire's ground was left off the rotation for this summer's Ashes series.
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