OXFORD United have agreed a partnership in principle with Oxford City which will see them establish a permanent base at Court Place Farm.
If it goes ahead, the U's would set up a supporters' club and retail outlet at the ground, which they also hope will host their Women's Super League and some of their academy games.
There is also the potential for building a permanent training ground for United's first team on the site.
The plans are subject to a formal agreement between the clubs and Oxford City Council, but it would pave the way for the main pitch at Court Place Farm to be replaced with an artificial surface.
City, who have struggled financially, will remain an independent club but have received a charitable donation from U's owner Darryl Eales
Greig Box Turnbull, United's managing director, said: "Talks have progressed positively and quickly and we are excited about the scope of this opportunity for all concerned.
"This is a significant development for the football community in Oxfordshire, it makes sense for the two clubs to partner and help each other and the wider community we serve."
City's general manager Justin Merritt said: "We have focused on the positives a partnership could bring and by maximising the use of the stadium pitch, facilities and commercial opportunities it will enable a strong future for both clubs.
"The partnership has huge potential and from the outset has been structured with the needs of all parties in mind."
Bob Price, leader of Oxford City Council, said: “The City Council is delighted that the two clubs have reached an outline agreement on joint use of the Court Place Farm pitches.
"The Council initiated these discussions in the wake of Colin Taylor's sad death and the realisation of OCFC's financial position.
"We will be working with the clubs to finalise the details of how the facilities will be used."
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