Unused Travis Perkins buildings could be demolished to create a replacement railway station car park and make way for 212 new homes.
The former building merchants site in Old Warwick Road was earmarked for station parking when councillors approved new homes and affordable flats in November.
The build of new homes and affordable flats on the existing Station Approach car park will mean the loss of 300 parking spaces.
Chiltern Railways, which operates services from Leamington, said more information on the plans would be released shortly as plans are developed.
A spokesperson said: “We are looking at future parking opportunities for our customers on the former Travis Perkins site adjacent to Leamington Spa station.
“We will provide more information this progresses over the coming months.”
The application, which has now been submitted to Warwick District Council planning department, is due to be debated in the coming weeks.
It reads: “The buildings are in a poor condition and are surplus to requirements.
“The footprint of the buildings will be used to increase parking. The area will be levelled and receive a finish suitable for a car park.”
The company originally objected to the loss of the current parking site but a council officer said that “it was always the intention” to redevelop the site.
And that planning permission would be sought for a large parking site to the south of the station on the unused Travis Perkins site.
If approved, work to level and pave the large space is expected to start in June.
The residential development by Waterloo Housing will be made up of 118 flats and 94 houses, 75 per cent of which will be affordable.
As part of the brownfield site redevelopment, public parking will reduce to 100 spaces and the bus depot and sales lot will be demolished.
A further 43 spaces will also be provided on Lower Station Approach.