The old St Mary's campus of St Nicholas' Primary School is set to be converted into a childcare centre, if the proposed project gets council approval.
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A childcare chain plans to convert the site on Manilla Road into Ekidna Oxley Vale School of Early Learning, an 85-child early learning centre.
Spokesperson Lisa Rochfort said it was a vote of confidence in the future of rural NSW.
Their existing childcare centre in East Tamworth has had a waiting list for years, she said.
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"There's a growing need in all regional areas, just basically to foster the growth of education, whether that be early learning, or the way through to universities," she said.
"We really believe that regional areas are going to go through an enormous growth over certainly the next ten years. There has to be reasons and opportunity of quality for the purposes of young family remaining in regional areas.
"We're really bringing our expertise from developing in Sydney for many years, and we're focusing our attentions now to our rural areas."
The Manilla Road site already contains a number of buildings that had been used for the school, which the company plans to convert into the new childcare centre.
Ms Rochfort told the Leader the new centre would offer a "boutique" early childhood education for local kids.
"We are highly motivated towards not just early learning but the senses that go with early learning," she said.
"It has to be a beautiful environment, it has to be obviously aesthetically beautiful."
It will employ about 25 staff at any time.
The project is set to cost about $1,058,238.00.
Submissions on the project close on August 19.
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