Lytham Hospital could be demolished to make way for a new multi-million pound facility in a project that could take 15 months to complete.
The old hospital will be bulldozed under the plans
Fylde Primary Care Trust (PCT) wants to redevelop the area into a purpose-built primary care centre.
The site would be expanded by 20% and make more clinical services available to patients.
Health bosses said Lytham Hospital, built in the 1930s, was no longer suitable for modern health care.
The new centre will house two GP surgeries, a pharmacy, X-ray suite, a facility for minor operations and services such as speech therapy, physiotherapy and occupational therapy.
Mike Gallagher, director of facilities for Blackpool, Fylde and Wyre Hospitals NHS Trust, said: "We are keen to work with Fylde PCT to ensure residents of Lytham have access to services of the highest standard.
"If planning permission is granted then during the redevelopment period clinical staff will be moved to temporary accommodation and redeployment opportunities at other trust sites will be made available."
Fylde Primary Care Trust is expected to apply to Fylde Council for planning permission within a few weeks.
A three-month consultation period will begin in June and the trust hopes to start work on the site in the autumn.