Councillors were discussing a recommendation by an independent hearings panel to approve a district plan variation that would allow Winton Partners to build a retirement village and a supermarket in the subdivision.
Private Plan Change 53 removes a "zone standard" that requires four community facilities to be built.
In her report for councillors, senior planner for policy Sarah Picard said a playground and tennis court had been completed and a consent granted for a fitness centre.
But the hearings panel had accepted a fourth facility, a 20-25m indoor swimming pool, was "no longer a prerequisite associated with development at Northlake", because the council had built an indoor pool at the Three Parks development.
Mayor Jim Boult said he felt "grave discomfort" about the move.
"People bought properties in the area on the understanding they would get certain things - like a swimming pool for example - and they're not getting them.
"Correct me if I'm wrong about this, but what they've bought into is being eroded."
Deputy Mayor Calum MacLeod said the council had "asked for a horse and we got a donkey".
Chief executive Mike Theelen urged councillors to be cautious with their language, reminding them they were considering the recommendations of an independent hearings panel that had seen all the evidence and submissions on the issue.
If the council did not accept the panel's recommendation, it would have to appoint a new hearings panel and re-hear all the submitters and their evidence.
Councillors approved a motion by Mr Boult that the matter be deferred while councillors obtained legal and additional advice on the matter from staff.
When the Otago Daily Times rang Winton Partners chief executive Chris Meehan for comment, he said "I don't need to talk to you, thanks for the call."
