Marlborough Town Council has objected to plans for a 64-bed care and dementia home on the former Wiltshire Council depot site in Salisbury Road.
The plans, submitted by Beechcroft Developments Limited and Porthaven Care Homes, also include 28 assisted-living units.
At a planning meeting last week councillors recommended that Wiltshire Council refuse permission on the grounds of over-development, inadequate parking, staff and ecology issues because the site still needs major decontamination.
In a planning statement, Hunter Page Planning, on behalf of the applicants, said the redevelopment would improve the area and would aim to minimise any visual impact. Industrial buildings would be removed.