"This whenua (land) was gifted to Wanganui by our chiefs and when the claims are finished we expect it to come back to us," Mr Maihi said.
He said the tribes wanted to develop it and discussion was ongoing as to its future.
An internet posting on the www.zoomin.co.nz may contain a clue to its future use. It's from "Rakato" and says: "Need to use this space for the needs of the Maori people of Whanganui, demolish the redundant, strategically plan future for building of kaumatua village, funding provided by government for demolition will provide funds to establish village complex, start date June 2013".
It was originally the site of Henry Churton's boarding school for Maori girls, which closed in 1887.
Later, the Jubilee Hospital housed about 100 elderly patients, especially those with dementia or mental illness. There was talk of closing it from 1990 onwards, which was vigorously opposed by the Jubilee Hospital Action Committee.
In the end the "new system of aged care" won the day, and the final few patients moved out in October 2003.
The four-hectare site was transferred to the Office of Treaty Settlements land bank in May 2009, and its deputy secretary Kevin Kelly said the buildings had deteriorated and were now a risk to health and safety. Security for them has cost $20,000 until now.
Around that time, Wanganui leader Ken Mair planted a garden in the hospital grounds to highlight the iwi's grievance over land it wanted to use but could not. He had earlier said the tribe was not interested in the Jubilee buildings - just the land.
Tupoho chairman Mr Mair said the buildings had to be demolished anyway because they were dilapidated and the pipe infrastructure underneath was of no use.
"We have been told the buildings were unusable, including what you can't see with all the piping working underground had it."
Mr Mair said the land was the most important issue and it mattered that it was kept within the iwi and local hapu, and within the settlement process.
For a few years, part of it was used by Wanganui's Montessori pre-school but in recent times it has been empty and vandalised. Thieves have stolen copper pipes and spouting, 26 windows were once broken in a single episode, and the building has been tagged.
It smelled damp inside, but still seemed relatively sound. As they filed through, the Churton schoolchildren flipped open cupboards looking for stray items, laughed at the commode and whispered about ghosts in the darker corridors.
Their principal Andrew Spence thanked the demolition contractors for the chance to say goodbye. He said people from the school felt a part of the place.
The children were asked to look after the tree they saw being planted, and were then treated to a catered lunch in the school hall.
