Four small parcels of land totalling 2.35ha, which the board identified two years ago as being surplus to requirements, are zoned residential 1 and could be developed into more than 40 residential sections.
Two front Taieri Rd and the others front Helensburgh Rd.
The board plans to retain the main part of the site - 15.8ha - on which the hospital and other facilities are built.
Two years ago, the board consulted on plans to sell part of the site and called for public submissions. It also decided to seek government approval to subdivide the site and sell the surplus lots.
At the time, finance and funding general manager Robert Mackway-Jones said the land had been acquired under the Public Works Act for hospital purposes and, under the Act, the Crown Health Funding Agency would have to be offered to former owners and their descendants at market value. If they did not want it, Ngai Tahu would be offered it under the Ngai Tahu Settlement Claims Act requirements.
Southern DHB chief executive Carole Heatly said yesterday the board would not decide immediately whether to keep or dispose of the land previously identified as surplus.
The board was "no longer sure what its needs at Wakari would be moving forward" and no decisions would be made on retention or disposal for at least a year.
