The Twin Peaks-esque wooden sign that marked the entrance to Bethunes Gully at the bottom of Mt Cargill was removed last month due to its deteriorating condition.
A Dunedin City Council spokesman said the sign was rotten and beyond repair and confirmed a replica of the sign would replace it in spring this year.
Users of the gully and its tracks this week said they were concerned the sign was apparently missing without notice.
Crush the Cargill organiser Steve Tripp said he always noticed the sign when he went for runs up Mt Cargill from Bethunes Gully.
Driving under it felt like you were entering a different world, he said.
"It made me think of something from the Wild West, the saloon and the entry to the town ... or you could talk about it in Alice in Wonderland terms as well, down the rabbit hole ...
"As soon as you go through the gate you're on a narrow winding drive and it’s gone from a road to a dark driveway with trees on either side and the creek beside you and the birds are singing."
It would be sad if the sign was gone for good, he said.
"I hope something happens [to replace it] because it is a cool sign."
