A decision on an application for 110 new homes at Appledore has been deferred.
Councillors from Torridge District Council's plans committee voted to delay their decision on an application for the development off Wooda Road until the new year.
The application from Baker Estates is proposing a mix of mostly two storey detached, semi-detached and terraced homes plus public space and associated infrastructure.
The site is earmarked for housing the Local Plan, making development at the site almost inevitable.
However, the inclusion of just five affordable homes due to the development's viability - below the preferred 30 per cent set out in the Local Plan - was a matter that proved to be a sticking point among councillors in reaching a decision.
The move to defer until January to have an independent viability assessment was tabled by committee chairman Councillor Chris Leather, who said: "It comes down to affordability, and the affordable housing allocation is a major concern.
"This housing site in Appledore - it will be developed at some stage. How it is developed is what we've all got to try and agree on.
"The affordable housing aspect matters greatly, because I want the people of Appledore to get as much of that share of 30 per cent as possible."
The council chamber was packed with local residents objecting to the plans, with those speaking against the plans met by rousing rounds of applause.
Local resident Jeremy Bell said the plans were not sustainable, and an approval would see Appledore 'gone'.
Speaking to the plans committee before the decision, Ian Baker, managing director of Baker Estates, said: "This outline planning application has been strongly recommended for approval. There have been no objections from statutory consultees at all in any aspect of the scheme.
"We are not box builders - we are developers of high quality developments.
"We will endeavour to engage further with all local stakeholders with production of a detailed scheme that everybody in Appledore can be proud of."
Mr Baker said he hoped to deliver the homes within 18 months once outline planning permission is agreed.