This week, six volunteers, with the help of Kurow farmer Roger Slee and his digger, started clearing a section behind a tin fence on the main street.
The site will be used as an outdoor display area for the Kurow Museum.
One of the organisers of the project, Bob Watherston, said a group of five residents had bought the chattels of the book and secondhand shop next door.
The group also had an option on buying the building.
Mr Watherston said the group would sort through the chattels of the shop, retaining heritage items that could be used for museum displays.
The chattels include a huge collection of salt and pepper shakers.
Project developments included a walkway from the Kurow Museum information centre to the site, which would display vintage machinery and equipment, at present stored in various parts of the town.
The plan was to have the museum and contents all in one area, he said.
The group had no plans for the shop at the moment, Mr Watherston said.
There were also plenty of other options on the main street, he said.
The group is working in conjunction with the Waitaki Valley Community Society.