Malvern Hills District Council has received two bids to takeover the management of the Malvern Theatres as it considers the option of a commercial operator.
Surrey-based Ambassador Theatre Group and Malvern Theatres chief executive Nic Lloyd have both submitted separate proposals.
Mr Lloyd says he believes he has put a plan together that will make Malvern Theatres "the best in Europe".
The Ambassador Group has outlined its initial proposal in a letter to the council and says it would seek to secure a 20 year lease "in return for a one-off capped contribution of £600,000".
There is a debt of around £600,000 resulting from an overspend during the Theatres rebuilding project.
Malvern Hills District Council this week reiterated its promise of full public consultation before any decision is taken.
Chief executive Chris Bocock said the two proposals would be outlined to an executive board meeting in August, which would decide what form the public consultation would take.
The council's position will be resolved at a full council meeting in mid-autumn.
This would be in the form of a recommendation to the Trust Board, which runs the theatre charity, and will make the final decision about its future management, said Mr Bocock.
The Ambassador Group refused to reveal any further detail of its proposals.
Spokesman Maggie Webster said : "All I can really say is that ATG has put a proposal to the council for consideration with regard to Malvern Theatres."
On the question of a potential timescale she said that was up to the council and how it went about its discussions.
Mr Lloyd said his plan would make Malvern the base for a production company and touring theatre.
After an initial cash injection from the council and grant support for a five year period the theatre could then operate without a council grant, he said.
He added that the uniqueness and local involvement which make the Malvern Theatre so special and upon which its commercial success is based should not be lost.
"All I ask is that my proposal is given a fair hearing. If the council makes a mistake on this it will have serious consequences for the town," he said.
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