Whitgift School in Grimsby has secured backing to bid for specialist sports college status with funding from a Shoreline Housing Partnership grant.
Status would guarantee funding over the next four years and allow the school to develop a high quality sports complex.
It would also expand local provision of sports and recreational facilities.
Shoreline's grant of £35,000 will help the school secure a further £100,000 from the Youth Sport Trust to make its bid.
The sports college aims to raise standards and achievement in physical education, provide coaching, training and leadership qualifications and become a focus centre for initiative training and development.
Activities would focus on team sports and developing a healthy lifestyle and provide young people with somewhere to go by opening facilities up to the wider community.