Henty could be transformed into a regional city if high speed rail runs through the town.
The $200 billion high speed rail plan linking Sydney and Melbourne, has stops earmarked near Henty and Gundagai.
The rail misses Albury and Wagga completely with the company hoping to develop new regional cities.
A private company, Consolidated Land and Rail Australia (CLARA), claims to have legal rights over 40 per cent of the land it needs after 12 months of negotiations and could create eight new regional cities from the ground up within five years.
The company’s website states the rail infrastructure can be paid for by developing new cities instead of dipping into government coffers.
An independent statutory body had previously identified a high speed rail corridor would go through Wagga, Canberra and Albury, giving locals hope of 90-minute trips to Sydney and Melbourne, but CLARA has chosen a different route.
Committee 4 Wagga (C4W) CEO Chris Fitzpatrick railed against the proposal, claiming the infrastructure required to fund new regional cities “would be outside reality”.
“C4W has doubts about the creation of an instant city and the reality of a community fabric in a virtual environment,” Mr Fitzpatrick said.
“Especially considering the transport, health, educational, energy, environment, cultural and sporting requirements of a vibrant city community.
“Connecting existing growing communities such as Wagga and Albury is viable and makes more sense.”
But according to the co-founder and chairman of CLARA Nick Cleary, developers could buy “greenfield” blocks of land for $1000 in sparsely populated areas and sell them for $150,000 because of the value the very fast train would add.
Former deputy prime minister and high speed rail government adviser Tim Fischer said CLARA was a “serious syndicate with some real heavyweights”.
“I was aware this was in the wind, it could be a big boost to decentralisation and I wish them well,” Mr Fischer said.
“The closest point to Wagga airport will be Henty and the closest it will ever get to Albury will be Henty, where it crosses the main line.
“It’s possible they would build rail to shuttle passengers from Wagga and Albury to Henty if it’s built.”
The Daily Advertiser reported in March CLARA had met with prime minister Malcolm Turnbull to discuss the venture.
Former NSW premier Barry O’Farrell is on the company’s advisory board.