South Holland District Council is in the advanced stages of buying Moulton Park.
The 23 acres of land was put up for sale through a tender process in December, with a guide price of £250,000.
Moulton Parish Council showed interest as it is keen on establishing a much-needed play area.
A district council spokesman said: “We saw it as an opportunity to add to our green space.
“Once we have got the deal done, we’ll sit down with the parish council and sort it out.”
Coun Anthony Casson, portfolio holder for assets, said: “I can confirm that we have reached an initial agreement with the owner of Moulton Park to purchase the land.
“We are currently working on the detail of the contract before we can finalise the purchase. We expect this will be concluded by the end of the month. However, until that time we will not be able to make any further comment.”
