CIVIC chiefs are on the verge of spending more than £500,000 to buy back two sites where residents fought off plans for hostels for vulnerable people.

Residents in Highcliffe and Stanmore forced council bosses to drop proposals to build accommodation for ex-offenders, teenagers leaving care and single mums last year.

Winchester City Council's ruling Liberal Democrats are planning to spend £511,000 buying back the land at Fivefields Road, Highcliffe and Thurmond Crescent, Stanmore, from the developer, Eastleigh Housing Association.

It was sold to the housing association, which was to have built the hostels.

They claim it was part of their agreement with the housing group that the land would be bought back if the hostels were not built.

Jim Cutts, chairman of the Stanmore Action Group, branded the situation as a "mess and a sorry state of affairs".

Mr Cutts said the council had to

honour its agreement with Eastleigh Housing Association.

"If they don't, then that is an axe hanging over Thurmond Crescent and Fivefields Road.

"The association will be forced to do something else with it that may be worse."

Stanmore Action Group was formed in 2002 to fight the plan for Thurmond Crescent and has now evolved to take part in the Stanmore Steering Group that is discussing the estate's future.

Labour councillors are questioning whether the council should spend the money, especially as the Thurmond Crescent site is effectively valueless for development.

A decision has been put off while officials get advice from lawyers and auditors.

Cllr Patrick Davies, Labour group leader, told the Daily Echo that clarification was needed on the terms of the deal between the council and Eastleigh Housing Association.

He said he understood the council was only legally obliged to buy back within a six-month period.

He said: "Whether there is a moral obligation is another question.

"I personally am not persuaded that we ought to buy it back.

"The Thurmond Crescent site is effectively sterilised for development. The planners were adamant it is incapable of being developed. It is an ongoing mess."

Cllr Dominic Hiscock, the Cabinet member responsible for housing, said: "The deal with Eastleigh was that we would buy it back. Cllr Davies is asking us to renege on the deal.

"I think we have a moral obligation. If we wish to be taken as a serious partner, we have to be seen not to renege on the deal."