Wasps are planning to build a 150-room hotel on one of the car parks at the Ricoh Arena.
Reports suggest they have approached the city council to request the grant of a new long lease over Car Park C (opposite the retail park).
It will be to develop a new hotel which will support events and conferencing at the Ricoh Arena and across the city.
The city council's cabinet is set to approve the new long lease for the car park to facilitate the development on July 17.
If approved, Wasps Holdings Limited will enter into a licence with the council until November 2019 during which period they will be required to apply for planning consent for a new hotel on the site.
Wasps will only be able to enter into the new lease once planning consent has been granted.
If development does not commence within two years, the council are able to require the surrender back of the long lease.
It is hoped the proposed hotel will be completed in time for Coventry’s year as the UK City of Culture in 2021 and the Commonwealth Games in 2022, when the Ricoh Arena is expected to host the netball tournament.