The theatre and other historic properties, Adams and Boldrewood, are still being used by the university despite the sale of land to Albury developer Garry Zauner in April this year.

A development application for the site bordered by Olive, Guinea, David and Wilson Streets for 31 lots was lodged with Albury Council this week.

This is different from options outlined in a master plan approved by the council in 2010, one of which would have created 29 houses, 20 townhouses, an apartment block and another design with 11 houses, 44 townhouses and two apartment blocks.

The Nowik Theatre was opened in 1993 and named after former Uncle Bens of Australia chief Dr Henry Nowik.

Also to be demolished is the old squash courts building operated by legendary sportsman Jim Matthews and his wife Mona from 1960 and latteely used as CSU’s art department.

The former two-storey campus library, the Sloshed Cod student bar and the basketball court on David Street will go, partly to allow for an internal road called Mary Way which will skirt the rear of Adamshurst.

“Our preference is for the Nowik Theatre to stay and be given every opportunity to be retained,” Mr Zauner said.

“It is a marvellous collection of buildings and we’ve have had some serious market interest.

“But it can either be retained as office space or converted to residential.”

Two courts will also be created named, Irvington and Fernhurst, preserving two house names.

“Our whole vision for the site is to showcase Adamshurst,” Mr Zauner said.

“The squash courts have to go to do that.”

Historic properties along Olive Street which have been the subject of expressions of interest are now for sale.

They include Flood Nagle, Hicks, Avon Court, Mudge, Wilcara and The Cedar.

Fernhurst (David Street) and Drysdale (Wilson Street) have been earmarked for demolition.

CSU is in the final stages of relocating to its Thurgoona campus.

Mr Zauner is hoping the development application will be approved under delegated authority.