The pavilion - which has regularly been targeted by vandals - would be revamped with the Department of Environment, Land, Water and Planning currently investigating the cost of refurbishment works.

User groups and the public will be consulted later in the year about other future uses for the site, but stressed conservation would be the main focus.

Old and unsafe harness racing infrastructure and unused sheds at the track which closed in 2005 will be demolished over the next three weeks.

DELWP's acting regional manager land and built environment programs Gavan Mathieson said the site was closed while the works were carried out.

"Mountain bike riders and other users can access the trail network via Thunder Point car park and are encouraged to avoid the club precinct until works are completed," he said.

The site, which was once used as a municipal tip, will be tested for contamination before any final decision on its future use is made. Remediation works may also be required.

"Future use will be consistent with the objectives of the Victorian Marine and Coastal Policy 2020 for sustainable use and development," the department said.

Royal Bikes owner and Warrnambool Mountain Bike club member Shaun King said he would like to see the old race track turned into a velodrome. He is keen to see a proper skills park and pump track created.

Mountain bike club member Gavin Prentice said the site was in need of a sheltered area for mountain bikers and the general public to use with toilet facilities.

"It's a great asset for Warrnambool," he said.

"As for what the site could turn into, we need to think a bit broadly about that, keeping in mind the sensitive nature of the coastline."

Mr Prentice said he would like to see other access points to the mountain bike tracks coming in off Elliot Street formalised.

"As far as developing the space there, the options are open," he said.

The disused pavilion has views across to the breakwater, and a large sheltered area for cyclists would make a great community hub, he said.

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"Having a place to park your car and having a toilet facility would be great," he said.

Mr Prentice said the club had always been angling for an Olympic-standard training facility.

"We can train local athletes to ride and they get enough exposure to different terrain and go on to a development pathway down through Forrest, Geelong and into Melbourne and internationally," he said.

"That's what we thought Thunder Point offered in terms of mountain biking as a sport."

He said he was keen to see what the site was used for, and the removal of run-down facilities meant there was action on the horizon.

"You wouldn't want to turn it in to a hotel development, but something that is eco sensitive and of community benefit," he said.

Mr Prentice said during the COVID-19 lockdowns there had been an increase in crime in that area.

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