Mr Kokshoorn hoped Greymouth could get the train for less than that.
"They want $2.1m for the whole operation, but it will be far less than that because we only want the rolling stock with two engines.
"We don't know the final figure, that will have to be negotiated."
There is competition for the old train. The National Transport and Toy Museum at Wanaka Airport has suggested it could accept it for a static display.
Mr Kokshoorn said the idea hinged on funding from Development West Coast, which gave out only $800,000 in commercial loans in the year to March 2014.
Mr Kokshoorn said he had talked with Development West Coast management but had not yet made an application.
He suggested Shantytown would need to have a hand in the operation.
"They have the workshop, the housing, equipment and structure to take it further."
Adding a track out to Shantytown was another idea, though Mr Kokshoorn acknowledged this proposal had long been on the cards.
"We have talked about it over the years but it kept running out of steam."
The project would need a "serious look at the feasibility and the finance".
The West Coast history of steam gave the region a point of difference over other parts of the country.
Development West Coast chief executive Joseph Thomas said purchasing the train was "very much at 'idea/concept' phase".
There had been a site visit to inspect the plant and equipment but no conclusions had been reached.
Mike Keenan was a member of the Westland heritage steam train trust, which had proposed a steam train ride taking people from the Tranz Alpine on to Hokitika.
The group recently disbanded.
Mr Keenan said a steam train ride was a "golden opportunity" and could be "something a bit different".
The idea had lost momentum in Hokitika after the Christchurch earthquake, he said.
The trust had purchased a turntable for $7000, but it was still in Balclutha and would probably cost about $30,000 to transport it to Hokitika. "The track from Hokitika to Greymouth is there, all it needs is a turntable ... If you can get the turntable up here [the Kingston Flyer] would be realistic," Mr Keenan said.
However, he doubted a side rail line from Paroa to Shantytown would be as viable: "It's going to cost millions."
Reefton Historic Trust Board chairman Paul Thomas was enthusiastic about the opportunity.
A steam train would be a "unique passenger opportunity for the West Coast".
Mr Thomas, who has helped create a historic railway precinct around the Reefton Railway Station in recent years, said he thought the project was "very do-able" but stressed the need for collaboration among different groups.