The auction date for 205 Morgan Street is set for November 5, which has already been eyed-off by the Damasa development group as part of its $180 million proposal to overhaul the precinct.

It was previously decided by the city's councillors that the money of the sale will be used to relocate the Wagga Vintage and Veterans Motor clubhouse, which is an existing tenant.

Yet, Central Wagga resident Chris Roche said it is disappointing for the council to move forward with the sale despite numerous objections by residents.

For any sale to proceed Mr Roche said there must be a benefit to the community but, in this case, he believes there is not one.

"It is not the council's land so to speak. The residents own the land and if the surrounding residents don't want it sold then why are they selling it," he said.

Central Wagga resident Anne McGregor added that some residents feel "totally ignored" by the council's decision.

"We are devastated of course. We fought hard to keep our community land - I definitely feel it's the ratepayers land - but the council is looking after the developer not what the community wants," she said.

The $180 million concept plans for the complete overhaul of the Morgan, Murray, Forsyth and Docker streets block proposes a four-storey commercial office building and a multi-level car park for the land up for auction.

Damasa director Manuel Donebus said they will be making an assessment as to whether they will want to proceed with the purchase.

"The concept plan is something the council asked us to do for the entire block ... it includes land that doesn't belong to us so we can only deal with the land we own and we'll make whatever plans with the land that we own," he said.