BOX Hill TAFE has emerged as one of the frontrunners to take over the Swinburne TAFE Lilydale campus when the site ceases operation next July.
Swinburne did not deny meeting with representatives from Box Hill TAFE last week.
"We welcome Box Hill TAFE's interest in examining the feasibility of offering courses at Lilydale," university spokesman Andrew Dempster said.
In other developments, Yarra Ranges Council mayor Graham Warren confirmed the council had met with Deakin University, which was also "very interested in offering courses" at the site.
The revelations are a positive step for those hoping post-secondary education continues at Lilydale.
Last Wednesday night about 250 to 300 locals attended a community forum at Mount Lilydale Mercy College to play their part in ensuring the Lilydale campus is not sold to developers.
Cr Warren said this week was a "watershed week" for the future of the site.
The council submitted its land-use master plan to Swinburne and the state government yesterday and will meet with Swinburne later this week.