Developer Woodbourne Group has submitted a planning application, backed by the Local Enterprise Partnership and MP Adrian Bailey.
The application seeks permission to demolish the part-derelict industrial estate to make way for a £13m project.
If it is approved, Woodbourne says the demolition work is likely to start at the end of this summer. The proposed housing scheme will have 53 houses and 17 apartments.
The estate will sit next to the Black Lake tram stop, with a travel time of just 19 minutes to Birmingham city centre.
Tani Dulay, the 25-year-old chief executive of Woodbourne Group, says the new project is in line with the Government's housing white paper – 'Fixing our broken housing market' – released in February and setting out a broad range of reforms to increase the supply of new homes.
Mr Dulay said: “Notwithstanding current increased market uncertainty following the snap election, Woodbourne Group remains in robust health to capitalise on a continuing benign land market with £10m under offer on sites in the region and a pipeline now close to £50m.
“The number of households in England is projected to increase at an average of 210,000 a year between 2014 and 2039 according to government figures released last summer.
"The housing market fundamentals remain strong with high demand from home buyers, good availability of affordable mortgages, ample land supply and cross party political support to build more homes in the UK."
He added: “For a long time, Black Lake has remained a part-derelict estate. This exciting opportunity will help breathe new life into this area. One that is well-connected to communities by car, public transport, cycling and walking”
Adrian Bailey, MP for West Bromwich West, said: “Projects like this that can add even greater value to the geographical area but can also give a boost to the local economy.”
Chris Handy, board member of the Black Country LEP, said: “We support the application for Black Lake which will bring 70 new homes to the area and we will work with partners like the Woodbourne Group to ensure the project shares the same principles as the Black Country Garden City project.
“The Garden City, which will see more than 45,000 homes built over the next 10 years, is creating a mixed economy of housing, through projects like Black Lake, building affordable homes alongside high quality, and sustainable, amenities to ensure we attract and retain people in the Black Country.”