Ms Gully said she wants to assure those who set up Jack Allen House that its history will not be forgotten and the name 'Jack Allen House' will live on.
Jack Allen was a prominent Levin businessman who provided the house.
"We want to see the legacy of Jack Allen honoured," she said.
Ms Gully said she could either look at the news as devastating or a challenge to walk into the 21st century at a new location.
"We were already in talks about breathing life into Jack Allen House, and that is what we will do," she said.
"One door closes and another opens."
Horowhenua District Council community development advisor Helen Hayes, a fundraising specialist who has been working alongside Ms Gully, said council is committed to securing a sustainable, more fit-for-purpose alternative for Jack Allen House.
She said they will be engaging with the community in the planning process and working alongside Jack Allen House management to build fundraising capacity.
"These efforts will be accelerated in partnership with the NGO sector towards the re-establishment of Jack Allen House at an alternative location."