The request for the private plan change 11, from the owners of the land, Cromwell Ltd, was notified on October 1 and attracted four submissions - three for and one opposed.
Some Upper Clutha farmers also publicly criticised the sale of the site, objecting to the loss of the facility, as the nearest saleyards were in Omakau and Omarama.
After a summary of submissions was notified for further submissions, three more were received, all from Cromwell Ltd.
The proposal is to rezone the 5.8ha of land, on the corner of McNulty Rd and State Highway 6, from rural resource area to industrial resource area. The landowner then plans to subdivide it into 18 lots.
Mr Whitney's report said there were three options for the land: to retain the status quo, to rezone it as a residential resource area or rezone it as an industrial resource area.
He said the industrial rezoning was the ``most appropriate'' for the site, as the industrial resource area had been applied to other land south of McNulty Rd.
``Use of the land for industrial purposes also avoids the reverse sensitivity effects which would result if the land were used for, say, residential purposes. It is also noted that the previous use of the land for the Cromwell saleyards involved substantial traffic movements when the saleyards were in operation, such effects being somewhat akin to that associated with industrial development.''
Mr Whitney recommended approving the plan change request, with a modification stipulating landscaping along SH6 be established as part of the initial subdivision of the land.
Mr Whitney's report will be considered by the Central Otago District Council's hearings panel on March 2.
