Land occupied by the Koha Shed in Duncan St may be sold by Whanganui District Council to pay off debt.
The council's strategy and finance committee voted to put its draft property portfolio investment plan out for public consultation at a meeting held on November 28.
Koha Shed manager and founder Sherron Sunnex said the charity hopes to purchase the land and continue providing donated goods and support to people in need.
Ms Sunnex said the Koha Shed have been offered first right of refusal to purchase the property.
"We have a two year lease and we have formed a fund-raising committee to organise income generating events.