Fill a 4-inch-deep nursery tray with potting soil. Firm the soil to squeeze out trapped air and even-out the surface. Add more soil to fill the tray, if necessary.
Sow the candy lily seeds 2 inches apart in the nursery tray. Sow them at a depth equal to four times the diameter of each seed, which is approximately 1.5 to 2 inches. Cover the seeds completely and firm the soil atop them.
Spray the potting soil inside the nursery tray using a garden hose with a misting attachment. Wet the soil to a depth of 2 inches. Let the top 3/4-inch of soil dry out before watering again.
Place the nursery tray in a greenhouse or cold frame atop a propagation mat. Set the temperature on the propagation mat to 68 F at night and 85 F during the day to mimic how the soil warms and cools outdoors.
Watch for germination in one to two months. Transplant the candy lily seedlings as soon as they produce a pair of true leaves, which are long, narrow and pointed. Put the seedlings into 6-inch plastic pots filled with potting soil.
Keep the individually potted candy lily plants in the greenhouse or cold frame until outdoor temperatures reach 68 F and the soil has warmed. Plant the seedlings a foot apart in a sunny bed with loamy, draining soil.