A southern council has taken a step towards freeing up land for development despite pushback from the community.

Thirty-seven hectares of Invercargill’s Donovan Park have been earmarked for potential alternate use, but there are a number of hoops to jump through before it gets the green light.

That includes creation of a proposal for revocation and sale, consultation with mana whenua and DOC, approval from full council, public consultation, a hearing, as well as a ministerial sign-off.

On Tuesday, the council’s community wellbeing and regulatory committee agreed a revocation process - which would remove the reserve status- could begin after the area’s reserve management plan is approved in May.

A number of issues were raised about the land in question during debate, including where funds from a potential sale would end up and whether it was suitable to build on.

Mayor Nobby Clark said he had been approached by about 15 developers in the past 18 months who were interested in farmland at the park.

Donovan Park is a 79-hectare area located at the northern end of Invercargill. It includes farmland, a rugby field and even a restaurant. Photo: Matthew Rosenberg/LDR

That included interest from aged care and retirement developers who said they would be willing to pay $1 million a hectare, he said.

“We should be brave enough to take the chance that we get turned back on this, because the alternative is we just graze a few sheep on it at the moment, which is hardly productive use of such high value land.”

But a report prepared for Tuesday’s meeting noted a decision to not progress the revocation would show the council was listening to the community because people had voiced opposition during consultation on the park's masterplan and management plan.

It also noted the matter had not been specifically addressed and another public notification would be required if the council decided to push on.

Donovan Park is a 79-hectare area at the northern end of Invercargill home to farmland and a number of groups including a rugby club, nursery and organic garden.

The council has identified the agriculture and events areas of the park as those with the most potential for alternate land use, which includes housing.

If a portion of the land is sold, funds would likely be put aside by the council for the purpose of other reserves in the city.

LDR is local body journalism co-funded by RNZ and NZ On Air