The new stadium will be built on land at the university’s main campus at the southwest edge of Coventry.
The five-year project would see a stadium with a capacity of around 20,000 built, potentially rising to 35,000 if required.
It is understood an early proposal is for a modular stadium costing up to £30m.
Both the University and the Club said they were committed to a visionary, environmentally-friendly stadium in terms of materials, energy, noise and building
The Club will own and be entirely responsible for the cost of building the stadium and its operation and receive all stadium revenues it generates.
The partners said the plans were at an early stage. Supporters would arrive at the stadium through a new light rail station at the ground running alongside a new link road.
This will require significant discussion and partnership work with all surrounding local authorities, the West Midlands Combined Local Authority and the LEP to ensure the funding and support is there to provide that infrastructure.