SQUATTERS at a disused York hotel have reacted with surprise after reports that they are to be evicted from their new home.

About two dozen squatters who entered the White Swan Hotel in Piccadilly last week were bemused at claims that the owners of the building had begun legal proceedings against them.

"How can the owners have begun proceedings against us?" asked Jez Russell, who said the squatters had links with the peace camp beside the Millennium Bridge, near Rowntree Park, York.

Jez said: "No one even knows who the owners are and the only thing we know about it is by reading about it in the Evening Press.

"How is that a way to run anything? They should leave it to us."

The group pointed out the mystery surrounding the building, and questioned the legal response.

Jez said: "Why do they want to kick us out suddenly anyway? No one has done anything with this building for years, it is completely abandoned."

"Now we want to do something positive, make a difference to the community and all of a sudden somebody wants it, and they want us out. Why?"

The squatters are cleaning out the hotel and have plans to turn it into a massive art project to replace the arts centre closed down in the city some years ago.

They are planning a series of concerts and fundraisers at the hotel, beginning this week.

Damo Gunn said: "This is part of an art project to spread peace, it is an extension of the peace camp down by the river, and something we want to give to the city.

"But it is only now anybody takes any notice of the whole place, and that is just to try to quash us."

Opinion was divided about the way forward should legal action be taken, but they were confident any action would take several months during which time the squatters would continue their plans.

"Whatever happens, peace is our main aim here, that is what is most important to us," said Damo.

"You won't see us surrounded by broken windows and riot police. We will walk out peacefully long before it comes to that, but we just want them to give us this chance."

Updated: 10:40 Tuesday, April 22, 2003