The board approved the request from Leaning Rock Village Inc at its meeting this week.
It means the board will now not consider any other development proposals for the land until December 1, 2018.
It is the third such request from Leaning Rock Village Inc.
A report prepared this year for the community board by Central Otago District Council property officer Tara Bates said that, four years ago, the VCB invited interest in buying and developing council freehold land next to Dunstan Rd, between the Molyneux Park netball courts and the Alexandra golf course.
Leaning Rock expressed an interest in the northern part of the land and two adjoining Crown reserves to the east, to use for a retirement village.
But delays in getting hold of the Crown land meant Leaning Rock asked the community board not to engage in further development interests for the council land.
Leaning Rock Village Inc president Russell Checkett spoke to the VCB and council representatives at the meeting to explain the situation.
"It’s embarrassing for us to tottle along every six or 12 months and say ‘can we have please another year’ but there’s nothing we can progress.
"If you don’t mind, please give us some more time. I can’t guarantee we won’t be standing here in exactly the same place this time next year, ‘oh they haven’t quite come back to us yet’, but all we can do is live and hope."
Board members were generally supportive of the village proposal.
"I certainly hope this is going to work because it’s something [Alexandra] really needs," board member Brian Fitzgerald said.
Central Otago Mayor Tim Cadogan agreed.
"You look at stats, I suspect the next census it will be more apparent that the numbers of over 60s are just increasing dramatically."
