A Nashville-based investor group’s bid to secure a Major League Soccer expansion franchise has taken a step forward after the Metro Sports Authority approved a $225m (€190.1m/£169.3m) bond resolution for a new stadium in the Tennessee city.

According to Tennessean, yesterday’s (Thursday) approval will clear the way for the proposal to move to the Metro Council for further consideration.

The bonds will help fund the construction of a football-specific stadium at the fairgrounds area of Nashville. However, bonds will only be issued if Nashville is awarded one of the two expansion franchises that the league is set to announce in December.

Should the investor group succeed in its effort to secure the franchise, the team would play its home games at the 27,500-capacity facility. The Metro Sports Authority would own the stadium.

Dudley West, a member of the Metro Sports Authority, which unanimously voted in favour of the bonds plan, said: “This is the best sports proposal, from the city’s perspective, that we’ve seen. The city has minimal financial risk and I think it’s a good opportunity for the city.”

Earlier this week, the Metro fair board voted to in favour of another resolution that recommended the Sports Authority and council approve bonds for the project. However, the Sports Authority would still be required to approve a lease agreement with the fair board in order for the stadium project to go ahead.