Cheshire West & Chester Council's executive cabinet is being recommended to approve a partnership agreement for an £18m plan to redevelop the Blacon Parade in Chester.
The council, Chester & District Housing Trust and NHS Western Cheshire are working together to invest around £18.8m to regenerate the area.
The plans will ensure provision of a landmark health and enterprise centre, retail, 35 new homes and an enhanced public realm.
If a partnership agreement is signed at the executive meeting on 10 October, the council said it will enable the redevelopment of Blacon Parade to go ahead.
The partnership agreement includes the reaffirmation of £2.5m capital support from the council and a recommendation to approve a further £410,000.
The development is also seeking to secure a further £1.3m from the European Regional Development Fund.
The council's executive cabinet is also being recommended to approve the establishment of the Blacon asset management company at a second meeting being discussed in detail in November.
The asset management company would manage assets including land, buildings and housing and provide neighbourhood services for the benefit of Blacon residents.
Cllr Herbert Manley, executive member for prosperity, said: "The partnership involving ourselves, Chester & District Housing Trust and NHS Western Cheshire could give the green light to this ambitious scheme if we all officially sign up to the project. I see this scheme as extremely important and funding from the Homes & Communities Agency has been confirmed. We will hear about the bid to the European Regional Development Fund this autumn."
Chester & District Housing Trust will be meeting early November to consider the scheme.