Work to start building student flats in Talisman square in place of the temporary car park will not start until spring 2019, developers have confirmed.
Developers Discovery Properties had planned for work to start on the re-development in spring this year and open in time for the start of 2019's academic year.
But a delay in finalising the planning consent on the development has seen the plans get pushed back.
The five-storey building is now targeted for completion for the start of the academic year in 2020.
It will consist of 121 student flats with space for five shops on the ground floor.
Hugo Hawkings, chief executive of Discovery Properties, said: “We have been discussing this delay with our proposed tenants and hope to reach agreement with them in the near future to enable a start on site next year.
“We have in the meantime been progressing the scheme and have completed a full geological site investigation on the site. We have also undertaken archaeological works in accordance with planning consent conditions.
“As we move forward we will continue to keep tenants and the public up-to-date on the progress of the project.”
Planning permission was originally granted for the flats in 2016, and permission for increasing the number of flats from 105 to 121 was granted in January 2018.
Several Kenilworth residents opposed the plan, with many claiming the building would severely reduce light levels in Talisman square, and that the size of the development was too great compared to nearby buildings.