Planners at Dudley Council have given the green light for developer P Suwan to build 12 three-bedroom houses on the land on the corner of Maple Road and Limes Road.
The site was formerly home to the Duncan Edwards public house and a bowling green but has been vacant for more than a decade.
The pub was badly damaged during a fire in 2006 and demolished shortly after.
Duncan Edwards was born in Dudley in 1936 and went on to star for Manchester United and England before he was tragically killed in the Munich air crash of 1958, which claimed the lives of 14 people including seven of his club team mates.
Planning agents PJ Planning said the development of the semi-detached homes will help enhance the site which has become overgrown.
They said: “The application site is a brownfield site, fenced off. It has been vacant since the Duncan Edwards public house was demolished in 2006 following fire damage.
“There are various trees on the site, with a row of mature London plane trees within the footpath to Maple Road. The site is close to bus stops and local amenities.
“The proposal is acceptable in principle, utilising a brownfield site to provided new housing accommodation in a sustainable location
“The proposal would result in a high-quality development that would compliment and enhance the character and quality of the area within which it stands.
“It is in accordance with the requirements of the development plan, and should therefore be supported.”
Planning officer James Mead said: “The application site was formerly a bowling green associated with the former Duncan Edwards Public House which has not been in use in excess of ten years and is overgrown.
“The principle of redeveloping this site for residential purposes would be a positive step in line with national and local policy.
“It would comprise the redevelopment of a vacant previously developed site on an allocated housing site.
“The site is within an established suburban area, close to public transport links and with easy access to local services.
“The proposed development would deliver homes through the effective re-use of this site. It would allow for the provision of a new dwellings to meet a part of the housing needs of the borough.”