A full planning application has been submitted to the city council for a new purpose-built Personal Recovery Unit (PRU) at HMS Drake in Devonport Naval Base.
Forces charity Help for Heroes has pledged a minimum of £10m to the project.
The facility comprises the creation of a four-storey, 72-bed accommodation block as well as classrooms, interview rooms, communal facilities, and six family suites for visiting family members.
The planning application is the first phase of a two-stage plan. Another application will be submitted later this year for further facilities including a swimming pool and consultation rooms.
Bryn Parry, co-founder of Help for Heroes, said: "The intention is to create a recovery centre where guys can go after receiving initial treatment at Headley Court. There are a lot of people whose injuries are very severe. We need to create a place where these guys can go and recover in a military environment. It will not be a convalescent home, it will be a place of opportunity."
The site will be directly linked to Hasler Company, a company of Royal Marines set up to help injured servicemen recover, rehabilitate and reintegrate either back into full military life or back to civilian life. The company currently provides facilities for 22 patients.
The award comes during a strong growth period for Capita Symonds. Last month it reported a 20% rise in 2010 revenues to £309m (2009: £258.1m) and underlying profits up 11% to £25.6m (2009: £23.1m).
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