Foodstuffs South Island yesterday announced plans to ''re-brand'' the outlet to a Four Square Supermarket.
That will happen in just 18 days, with the future of jobs there uncertain.
A letter to the about 70 full-time and part-time staff, from Foodstuffs South Island retail operations general manager Alan Malcolmson, confirmed New World would stop trading at the site on April 19.
The letter, obtained by the Otago Daily Times, said: ''It is planned that the site will reopen and trade as Port Chalmers Four Square Supermarket from Monday April 20.''
Foodstuffs was negotiating with new owners ''as to whether we can obtain employment for some of the New World Port Chalmers staff, and whether such employment can be on the same or substantially the same terms and conditions''.
Those who were not offered jobs, or rejected transfers, would receive redundancy notices.
News emerged of the move last month, and resulted in nearly 100 worried residents meeting at the Careys Bay Hotel last week at short notice to discuss the supermarket's future.
Bill Southworth, a member of the Save Port Chalmers New World committee, said the committee had proposed to initiate a ''use it or lose it campaign'', with people door-knocking in suburbs from St Leonards to Waitati seeking an undertaking from residents to sign pledges to use the store.
A standing committee would work with Foodstuffs to increase the viability if its business, and asked for 12 months to work alongside it to put the business on a viable footing. Mr Southworth said he had knocked on 70 doors, and ''everybody signed that pledge''.
Despite that, and the collection of more than 1500 signatures supporting a stay of proceedings, Mr Southworth said Mr Malcolmson came back yesterday by email and said ''the board considered it, and didn't think it was a goer''.
Mr Southworth said Foodstuffs had said prices at the new outlet would be higher, and the range more limited.
Mr Malcolmson said the store had been a New World supermarket since the 1980s, ''and it is with sadness that the business has reached the decision that sustaining the store long-term as a New World is just not possible''.
''The viability of small supermarkets in the current environment is very challenging, and we believe the Four Square format will better serve the local community and be economically sustainable in such a market.''
He acknowledged staff positions would be affected by the rebranding.
''We are working with all employees to determine what their roles will look like.
''It is too early to say how many staff will be leaving or taking up roles elsewhere in the business. However, we are offering all affected staff career, curriculum vitae and counselling support.''
Port Chalmers resident Ryan Jones, who set up a Facebook page to oppose the plan, said considering the offer to work alongside the company, its response was ''quite appalling''.