The building work for the new primary school is now well underway.
Building work for the new primary academy on the site of the former Castle Hill secondaty school started in September.
The aim is to open in September 2015.
There is also a separate proposal to build an additional 130 homes on the site.
An outline planning application has been submitted to West Lindsey District Council and the plans were discussed at a meeting of the Gainsborough Town Council planning committee.
Chairman Coun Barry Coward said: “The location is opposite the Golf Club so I think it is better suited to an executive housing estate.”
“It will allow more space for dog walking through to the woods and it will reduce the amount of traffic out to Little Belt.”
“The plan splits the open space into two and it could become a rat run.”
“It would be nice to have a green area between the school and the houses.”
“The amount of traffic will encourage a rat run at certain times of the day.”
The town council will be taking its concerns and proposals to the district council who will make the final decision on the application.