New Zealand chef de mission Dave Currie, said large sections of the village were still not ready with the clock ticking to its official opening on Thursday, Sep 23.
New Zealand official said there athletes were allocated new accommodation within the village after inspections found their original tower block was unacceptable due to uncleanliness and poor facilities.
"The way things are looking, it's not up to scratch, the reality is that if the village is not ready and athletes can't come," Currie said.
Currie said the half-built nature of New Zealand"s proposed accommodation was extraordinarily disappointing to his delegation when they arrived last week.
Even Prime Minister John Key said it was pointless sending athletes to the CWG if they faced health and sanitation issues in the village.
In a statement, The New Zealand Olympic Committee (NZOC) said it is disappointed with progress in the residential area of the Delhi Commonwealth Games village.