Henderson wants to change the £150m scheme, granted planning permission in 2009.
It proposes more shops and fewer homes and, most contentiously, no affordable housing, bus station, offices or live-work units.
Henderson said the changes reflect the decision of Stagecoach, who say they no longer need a station.
It says it is a “high-quality scheme that is an asset to Winchester,” as well as being commercially deliverable.
Henderson told the council that forcing it to build 100 affordable homes would have made the scheme unviable as it would have been unable to secure funding.
The new proposals give special consideration to public feedback about variations in height and frontage, the choice of local materials, facilities for public transport users and the quality of the public realm.
The developer believes that the changes to the scheme, undertaken by Allies and Morrison architects, improves on the existing consent and will re-energise the rundown Broadway-Friarsgate area.
A further static public exhibition will be open soon with details to be announced.
Initial work has commenced to investigate ground conditions, with specific attention paid to understanding the archaeology.
This preliminary work is being carried out by experts, RPS, who have been appointed in liaison with the city council.
Martin Perry, director of development at Henderson, said in a statement: “The design team has worked hard, with a critical eye, to ensure that the final scheme is one that we can all be proud of. The proposed refinements have responded to the key issues addressed by all stakeholders, while ensuring that the scheme is the best and most sustainable option for today’s environment.
“Meanwhile, the initiation of site investigation and archaeology demonstrates our commitment to proceeding with the development as soon as we can.”
Paul Appleton, partner at Allies and Morrison architects, said: “Winchester is a distinguished historic city. It has been a privilege to have the opportunity to work on this project for 10 years. We are proud of how the scheme repairs the damaged fabric and historic street pattern of this important site at the heart of the city.”
The Chronicle revealed last week a confidential city council report into Silver Hill. The scheme is forecast to make a £15 million profit, a return on cost of some 10 per cent.
Mr Perry declined to answer questions including how he told a public inquiry into the CPO in 2012 that Henderson has multiple alternative funding sources but now cannot afford to build affordable housing.