Grey County and the Bluewater District School Board are currently in negotiations for the transfer of the former Sydenham school property.
It is the site chosen for the development of the Regional Skills Training, Trades and Innovation Community Hub in Owen Sound.
A report by Director of Corporate Services Kevin Weppler indicates the community hub capital project is now behind schedule and goes on to say it's anticipated reserve funding won't be fully utilized in 2018.
The initial target was to have the community hub begin opening in phases by September.
An update recently provided by Grey County economic development manager Savanna Myers indicates county staff have spoken with school board officials regarding next steps in the surplus property process.
According to Myers' report, the board has received an appraisal of the property but has yet to provide it to Grey County.
Grey County CAO Kim Wingrove says a portion of the planned community hub, a new childcare centre, requires ownership of the property for funding approval from the province.
She says the province has committed about $250,000 to get the centre started.
The county was considering leasing as an option for the Regional Skills Training, Trades and Innovation Community Hub, but Wingrove says council has made it clear they want to take ownership of the property.
According to a past Bayshore Broadcasting report, the community hub will offer a space for innovation and expanded post-secondary learning to help address a gap in trades, technology, nursing and culinary arts in Grey County.