Up to 300 new homes are also planned on the site next to the stadium.
Northampton borough councillors are being recommended to approve the plan to take ownership of the land. The council is meeting on Wednesday.
The site is currently owned by the government's Homes and Communities Agency but would be transferred to the council for no initial fee.
Planning officials said the council would then be able to access grants that would push forward the development.
Council leader David Mackintosh said: "This move is vital if we are to assemble all of this land and ensure it is developed as part of the Northampton Waterside Enterprise Zone.
"Northampton Town Football Club is currently working up plans for its new stand, which we expect to receive within weeks.
"The club also has plans to redevelop the wider site including the athletics track and other nearby land.
"We have made an agreement to provide a loan of up to £12m, enabling the club to realise its ambitions for more modern facilities including a conference centre and hotel.
"These will help put it on a more stable financial footing."
The stadium development would see the capacity increase by more than 2,000 to 10,000.
Northampton are currently second bottom despite a 2-0 win at AFC Wimbledon on saturday. Coventry in contrast won 1-0 at Stevenage Town.