The firm, called PropCo, would be a subsidiary of the authority’s holding company Lincolnshire Future Ltd which was formed in March last year.
This means the company would form part of the council’s corporate group headed up by the holding firm.
Senior county councillors are expected to approve the plan at a meeting on February 5.
The authority said PropCo would be used to build a range of developments and help to reach housing targets.
Coun Patricia Bradwell, executive member for adult care, said, the company would also look to build homes for elderly people who want to retain their independence.
“One of the projects the council’s new property company will oversee is extra care housing,” she said.
“We are working with our district council partners on this to improve the options to support people to live independently.
“Having their own front door gives them a home environment, but with support on hand from caring professionals.”
It comes as the county council is using Lincolnshire Future to create subsidiaries for specific purposes such as property, waste and investment.
Holding companies do not usually provide goods or services themselves. Instead, they own shares of other companies to form a corporate group.
The firm is limited by shares and 100 per cent owned by the county council.
Council leader, Martin Hill, said the company allows the authority to be more “flexible” in what it can do, such as trade and commerical interests.
He added that Lincolnshire Future means the county council can “improve services” while also bringing in income.