Bright's Mystic Park will remain open until at least the end of next year to give user groups time to come up with a long-term solution.
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It prompted a strong response from representatives on the plantation's board - including Alpine Cycling Club, which organised an extraordinary meeting on Tuesday night.
President Peter Berlowitz said around 50 members attended and discussions were extremely positive.
"The fear that it could be shut down in the next eight weeks looks like it has been overcome," he said.
"The ACP board had a meeting on Monday night, prior to our meeting and we gave them our action plan addressing a lot of their issues of short-term safety management.
"They came back to us and said they'll see out the lease until the end of December next year, which buys us time to come up with an ultimate solution.
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"It's woken everyone up that we can't take for granted the popularity of the place. It's bigger than a club volunteer program.
"ACP needs to work out a commercial solution. Whether it's ACP, Alpine Shire or it's privately run. Every option is on the table.
"It's not to necessarily make a massive profit, but make sure it's safe, given it's a working pine plantation."
Mr Berlowitz said no specific measures had been discussed yet, but he expected it would progress quickly.
"We all agreed shutting it down and trying to restart it is 100 times harder," he said.
"We might have to close down a couple smaller tracks that are in the way of current plantation, but we've closed and open trails all the time."
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