A conditional offer on two blocks of land and buildings at the former Wanaka Primary School has fallen through, a Ministry of Education spokesman says.
The conditional period of the sale and purchase agreement for the properties, which contain most of the school buildings, had been extended until the end of June.
However, the ministry said on Friday the offer had fallen through and the real estate agent had begun liaising with other potential buyers.
Wentworth College Property Ltd director Stephen Fleming visited the school site last month to assess its suitability for the establishment of a private school, after being approached by the unnamed New Zealand investor who was negotiating the properties' purchase.
The group associated with Wentworth College, in Auckland, also has plans to establish a private school in Queenstown.
The day after his visit to Wanaka, Mr Fleming said there was a "strong possibility" the year 12 and 13 private school proposal would proceed, providing the property purchase went ahead.
Mr Fleming did not return calls from the Otago Daily Times.
