Eircom League Premier Division club Finn Harps has been granted planning permission to build a new stadium in Stranorlar, less than a kilometre from the club's existing ground in Ballybofey.
The clubs hopes to proceed with the construction of a stadium on a phased basis which will have a total capacity of 6,600 seats.
There will be four separate stands as well as a TV gantry, and a three-storey administration building as well as floodlights.
Harps are hoping that monies raised from the sale of Finn Park will be used to finance the new stadium which is likely to cost in the region of E6m plus.
Work could get underway before the summer although it could be two seasons before Harps are actually playing in their new home.