The board did not respond to questions about what consultation was under way with patients.
Health board mental health medical director Dr James Knight said in an email the lease on 599 Princes St would expire in the next few months.
Moving the South Community Mental Health Team to vacant office space at Wakari Hospital would save money, and could be better for patients, he said. The board's north city team would still be based in Hanover St.
''This move would provide opportunities for enhanced integration of inpatient and community mental health services and would save on future lease costs.
''Any proposal to relocate the [service] will be carefully analysed from the perspective of patient access to services,'' Dr Knight said.
The Otago Daily Times was contacted by a service user, who said the move was purely for financial reasons, with no consideration for clients or staff.
''By trying to cut cost, they are putting each client's health on the line.
''Clients will have further to travel, which for many clients means increased cost to travel and most don't have the financial ability to afford this,'' the service user said.
Otago Mental Health Support Trust manager Grant Cooper said he was hearing feedback from service users about the proposal.
Clients favoured the central city location, as it was easy to attend, he said.
Some would struggle with the cost if they had to pay for buses to Wakari.
There was also concern about attending appointments in a hospital, when service users were accustomed to a community setting, he said.
