A big question mark is hanging over the future of the YMCA building in Westgate Street, Lewes.
Rumours circulating in the town suggest that it could be demolished.
The YMCA is used as a venue by many local groups and organisations.
One resident, who preferred not to be named, said: “As I understand it, negotiations are under way between the YMCA and a developer to demolish the existing YMCA buildings and ut up around a dozen town houses.
“The YMCA buildings are not in good shape and are not architrecturally pleasing. To retain the buildings would require a lot of money being spent.
“But the faclities that these buildings provide for babies, toddlers and young people are important for the town. Their loss would be keenly felt.”
David Standing, Chief Executive of Sussex Central YMCA, said: “We are looking at options for our site in Westgate Street as the current buildings would need a lot of investment to bring them up to standard.
“Any development we take forward will be designed to enable the YMCA to better serve the needs of the local community but will also need to be sustainable.
“Currently we are considering a number of options but we do not as yet have a proposal that has been endorsed by our Trustees. We obviously need to consult with our immediate neighbours and the local community once we are clearer as to our intentions.”
John Hodges, of London-based Orion Land and Leisure, said: “We are discussing some future development options with the YMCA to support their charitable aims.
“Once we have some initial ideas we will discuss them firstly with our immediate neighbours, followed by a wider community engagement.”