Midcounties Co-operative has stopped its eviction process against a shelter set up by homeless people at a disused garage, where the society is a leaseholder.
The society had launched court proceedings to remove the group of around 15 people from the former Volkwagen garage on Iffley Road, Oxford, citing concerns over safety.
The court action drew protests from supporters of the shelter, which was set up on New Year’s Eve, calling on Midcounties Co-op to let the group stay until the end of winter.
Midcounties has now carried out an inspection of the premises and says the inhabitants can stay until its lease expires in April.
Kevin Brown, Midcounties Co-operative group general manager for specialist services, said: “We successfully adjourned the repossession process for seven days to give us more time to reach a positive outcome.
“We’ve also completed a health and safety inspection of the site. The areas affected by asbestos have been cordoned off, and we’re satisfied that the building is safe and that those staying there are taking their duty of care very seriously.
“We’re now in very positive negotiations with the legal representatives of Iffley Open House, to allow the group to remain in the property, subject to certain conditions, until our lease expires in April.”
He added: “In April we have a legal obligation to hand the site back, with vacant possession, to our landlord Wadham College.
“To ensure we’re able to meet that requirement, we will request a repossession order at court next Friday, but our preference is not to have to use it. We’re very confident that we can agree an amicable arrangement, which allows Iffley Open House to operate as a homeless shelter until we’re legally required to hand the site back to our landlord.
“As a co-operative society and supporter of The Gatehouse here in Oxford, it was really important to us that we reached the right outcome for the people staying at the Iffley Open House. We’re very confident of reaching a successful agreement next week.”
