Council planners have agreed to change the capacity limit at a football stadium for Elton.
He will play at Darlington Arena, the home of the Darlington Football Club, on July 5.
The club needed permission from Darlington Borough Council to waive the ground's 6,000 attendance limit to apply for the event safety certificate and attract a big enough crowd to make the event viable.
But the council's planning committee has given the event the green light, and final preparations are now under way for the biggest non-sporting event in the club's history.
Grahame McDonnell, the Quakers' commercial director, said: "This is fantastic news, not just for the club, but also for the town. If the plans had not gone through, the safety certificate could not be issued. We are through the planning stage now and the necessary arrangements are in place. It will be a great event and a great day out."
The ground was built to accommodate 25,000 fans, but planning regulations limit the capacity to 6,000 for weekend games and 4,500 for matches during the week.
The club was granted permission to stage concerts in July 2006, but the agreed attendance limit remained in place. Now the restrictions can be waived for special events, paving the way for Elton's show to go ahead.
Concerts and other non-football events have been identified as key to securing the financial future of the ground and the League Two club.
Tickets for next month's engagement are £40 to £75, on 0844-847-1731 and at ticketmaster.co.uk
McDonnell noted: "It is now getting to the exciting stage - we are only four weeks away from the show. Hopefully, this will put Darlington on the map as a pop concert venue and we can go on to host many more in the future."