Some Kids need the structure early (my oldest did), even though the socio emotional maturity wasn't there and the academic demands were way below his level - play based just made him anxious and show even less maturity than he had. When he was grouped with the older kids, he could adapt to a point. We let him enter K early - he would have been old for grade anyway.
Some kids enjoy the play based environment (DD5 currently still does) and would wilt in an environment that is not developmentally appropriate (as in socio emotional maturity requirements being too strenuous) but may still not be academically appropriate (as in material still being stultifyingly easy).
For DD, a skip now might be just right academically, but she is already young for grade. For her, we may have to opt for developmentally appropriate and screw academics for as long as we can.
I'd make sure that the grade skip option stays on the table.
