The Government has made it easier for tertiary institutions to claim ownership of or sell more than $1 billion in Crown assets.
Minister of Tertiary Education Steven Joyce announced the change on Wednesday, saying said many institutions have more land than they use and buildings that are old and run-down.
The policy applies only to Crown assets tertiary institutions have used since at least 1990.
It makes it easier for them to sell assets they no longer require, although the Crown will get a share of the sale. They can also request ownership of Crown assets.
The chair of New Zealand Institutes of Technology and Polytechnics, James Buwalda, says the change will help institutions review what they need to deliver education.
But the Labour Party's tertiary education spokesperson, Maryan Street, says her party will watch the situation closely in case it becomes a back-door for selling off Crown assets.
