The decaying building on Hunter Street has been on the market since September, when it was listed for sale by the Awabakal Aboriginal Local Land Council. 

About seven of the prospective buyers have shown enough interest to warrant an inspection, the Newcastle Herald understands.

Once expressions of interest close next week, Colliers International will work through the proposals to determine which are feasible. 

“Then we will take it to the [Awabakal] members with some recommendations and see how they feel about it,” the land council’s chief executive, Rob Russell, said. 

However technically the post office can not yet be sold, as one of nine Awabakal properties tied up in court action. 

Earlier this year two Sydney companies placed a caveat over the building in the Supreme Court, claiming they were owed money by the land council. The case has not been resolved. 

“We have to pay fees to the courts to even start to move towards having those caveats removed,” Mr Russell said. 

“It’s people from outside, draining money out of the land council. But we are determined to move forward.” 

Colliers International executive Michael Chapman said agents had been pleased with the level of interest  during the expressions of interest process. 

“All sorts of things have been proposed, from hospitality to a hotel to commercial uses,” he said. 

“It’s really working through how you can unlock the value and reinvent the building to the landmark it once was. That may rule out some uses based on cost.” 

On Monday, work began to clear and secure the verandah of the post office, in what was hailed the “first step in a long journey” to restore the treasured building to its former glory. 

The parliamentary secretary for the Hunter, Scot MacDonald, welcomed the start of restoration works. 

“It is good to see the NSW Government funding to secure and make safe the old post office is now being utilised,” he said.