The land was designated for primary school purposes and following the closure of the school in August last year, the Ministry of Education has told the Central Otago District Council it no longer needs that designation.
Council planning consultant David Whitney told councillors this week
the district plan would need to be amended, a requirement of the Resource Management Act.
The land would revert to a rural resource area, with a neighbouring recreation reserve.
Central Otago Mayor Tony Lepper said that was a shame.
''If someone wants to buy the school to live in it then they would need resource consent to do an activity that has been done there for a hundred years ... and we end up with a rugby-paddock-sized recreation reserve in the middle of nowhere.''
Councillor and Maniototo Community Board chairman Barry Becker said the community still used the school for functions.
Council planning and environment manager Louise van der Voort said when the ministry was ready to sell the school, it would first be offered to Ngai Tahu.
Last year, with no pupils and few prospective enrolments, the school's board had no option and closed the school
on August 21. The designation will be removed next time the council undertakes a plan change.
