Royal Auckland general manager Warwick Hill-Rennie, a former chief executive of the Grange, referred questions to club captain Brian Hannan - who would not comment.
Auckland Golf Association executive director Peter Seagar said he'd heard the merger could involve adding four or five holes from the Grange course to Royal Auckland and selling the remaining land.
The Grange occupies about 45ha of land, which the Auckland Council values at $41.8 million.
An agent for Bayleys real estate company, Angela Rudling, said Auckland Council had told her the land was zoned "main residential"- meaning there could be one dwelling for every 300 square metres once infrastructure was installed.
" This land is highly valuable and there would be interest from developers, residential housing groups and maybe even Housing New Zealand.
"This is well positioned near all major facilities. It would be a very desirable opportunity."
Most golf clubs face falling membership - more than 13,000 people belong to clubs in Auckland, but membership has fallen by 2600 over the past four years.
But not everyone is in favour of the two-into-one plan.
Remuera man John De Gues has been a member of Royal Auckland for 25 years and isn't happy about the merger talks.
"I don't know why they are doing this. These are two clubs that aren't really compatible ... [club bosses] say it is to build for the future," he said.