New plans to develop the site of the King Alfred Leisure Centre would also see part of the land sold for housing.
Council documents released for next week's Brighton and Hove City Council cabinet meeting suggest that plans to develop the preferred site on Hove seafront would also include selling any land not used, for "residential development".
A new leisure centre is expected to be built on the site of the current King Alfred and not on land in Benfield Valley in Hangleton which was also earmarked for plans.
One design would include a "stacked" concept with a basement car park while another "low-rise" design would keep a surface-level parking area.
Both designs would also involve selling the remainder of the land for housing.
Councillor for sports and recreation Alan Robins has recommended keeping the leisure centre on the seafront.
The council added that the opinions of residents were a large factor in the consultation process.
It said that more than 60 per cent of residents preferred the current site compared to just 14 per cent who preferred the Benfield Valley site near Old Shoreham Road.
The council added that if the project were to be built in Hangleton a restrictive covenant on the site would need to be removed, costing time and money.
A Hangleton-based project would also force Portslade Cricket Club to find a new home, something the council conceded would also prove controversial.
Overall, the project is expected to cost between £39.8 million and £47.4 million if the council goes ahead with the Hove seafront plans.
The recommended plans are set to go before the new Labour Cabinet next week.
Councillor Alan Robins, cabinet member for sports and recreation, said: “The King Alfred Leisure Centre is still popular and well loved, but it’s near the end of its life, is in constant need of repair and is expensive to run.
“The health and wellbeing needs of our residents is a priority, so it’s really important we listened to what they actually wanted from a new sports centre.
“Having looked at what residents said, alongside cost and viability, we believe a new facility on the existing site will deliver a modern, energy-efficient leisure centre that residents can be proud of for years to come.”
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