Three developers have been shortlisted and invited to work up detailed proposals for a development on the four-acre Greyfriars site in the centre of Northampton.
The developers who are not being named at this stage were selected following the borough council s initial call for expressions of interest during the summer.
The three companies that have been selected to go on to the next stage have now been asked to prepare detailed proposals and drawings for the site, with a deadline at the end of March 2016.
Their proposals will then be put on display to the public before a final decision on the preferred scheme is made by Cabinet later in the Spring.
All three expressions of interest included initial suggestions for a mixture of uses on the site including retail, leisure and residential.
The old Greyfriars building was demolished in March 2015, and work was then carried out to prepare the site for development.