The former Nautical William pub in Wigston will be replaced by 14 affordable homes.
Tory MPs collect about 50,000 names opposing government proposals to redraw the political map.
Police say Darren Bakewell punched and pushed Christopher Pearson, 78, following an exchange.
Documents submitted to the council state a planning application was "forthcoming".
Peter Soulsby says he is frustrated by the delay but opponents say the process should be scrapped.
Tory MPs are to present petitions to Downing Street to try to get the government to rethink.
The Hollywood-style sign in Wigston was unveiled last year, but two of its letters have vanished.
The 27-year-old was arrested on Monday and officers say the investigation is ongoing.
Police say officers are searching a property in the town in connection with their investigation.