But the sale of everything from theatre seating to a Ralph Hotere drawing has been slammed by arts community figure Scott Muir, who said the decision to auction assets bought using community funding was wrong.
Mr Muir said the city was being "sold a pup" by the trust, which he said had been too quick to put up for auction assets that would have been invaluable to amateur theatres in the city.
The Fortune is also selling the assets before a July 9 meeting to ratify its decision to close.
However Stage South, the group of theatre professionals set up make sure professional theatre continues in Dunedin, said yesterday it was not concerned about the asset sale.
The trust announced the theatre's immediate closure in early May, saying it was no longer financially viable.
It yesterday announced in a press release the assets would be sold at auction, "to hopefully be bought by other Otago theatre companies".
The auction would be held at the Fortune Theatre building on June 30.
Theatrical items included sections of theatre seating, stage and house lighting, rigging, scaffolding, and audio and projection equipment.
The revolving stage from the main theatre was also for sale, as were theatrical curtains and backdrops.
Art works gained from associations with New Zealand artists included a Ralph Hotere enamel pen drawing on paper.
Apart from theatre equipment there was office and bar equipment, and appliances.
Mr Muir yesterday said there was "obfuscation" by the trust at a recent general meeting about what level of debt it would end up with.
By the time the trust had the meeting it was required to hold on July 9 to ratify the decision to close, it would be "a fait accompli".
"My own personal concern is that assets that have little or no value to the theatre now would be of immense use to theatre groups around the city."
Assets like lights and rigging and a sound desk belonged to the community and should stay within it.
The auction may make "a tiny amount of money", and he suggested the Dunedin City Council should step in and help buy the assets, as had been done with the theatre's wardrobe.
Fortune board of trustees chairwoman Haley van Leeuwen said the trust could legally sell assets as it saw fit to run the business and meet creditor obligations.
"We are operating within the rules and within our rights as trustees."
Ms van Leeuwen said the trust knew the financial situation would be "extremely tight" and the list of creditors was still growing.
For that reason the final financial situation was still unknown.
The trust would have preferred to donate the assets to the arts community, but was not in a position to do so.
"We're selling the assets because we have to."
