The medical centre's business development manager, Hans Roberti, said he had approached HDC with the idea of using the council land.
He said finance had not yet been finalised for the centre, but banks had expressed support. He did not want to give a figure for the project.
Mr Roberti said the building's cost would be met by growing the medical practice from the 3000 current patients to 8000 patients, which he expected to reach five years from opening. Fee increases were not part of the plan.
The plan has the new two storey, 2000squ/m , 50-carpark centre opening in about 14 months.
The centre's one full-time and one part-time doctor would grow to four full time positions, with 16 support staff, as well as potentially up to six visiting medical specialists and three onsite physiotherapists.
Mr Roberti said Levin's population growth projections showed the centre was needed, and there would be no negative impact on the town's other medical centres.
He was confident the quality of both the new building and the organisation would attract doctors to Levin, despite a significant nationwide shortage of doctors in provincial areas.
Issues Foxton had faced in attracting doctors to its new medical centre were not relevant, he said. The Levin centre would have an ownership structure more attractive to young doctors.
A joint statement from MidCentral District Health Board chief executive officer Kathryn Cook and Central Primary Health Organisation chief executive officer Chiquita Hansen welcomed and supported the ambitious proposal.
They said Cambridge St Medical Centre showed great courage in looking to provide the new facility.