Campaigners hoping to buy a former council-owned care home say they are “cautiously optimistic” after “a very positive meeting” with a council.
Staveley Community Trust wants to turn the Abbey into flats and a social hub.
Westmorland and Furness Council said it had paused the sale process and is reviewing options for the building.
A spokesperson for the authority said: “The council had a productive meeting with representatives of the Staveley Community Trust and agreed that we would like to listen and engage with the group and the wider community to understand their views and the needs of the community so we can develop the most appropriate approach to supporting those needs.”
At the meeting campaigners put forward the case for transforming the building into 16 “self and accessible apartments for older people” with a community hub at its heart offering social activities.
Deborah Michel, trustee of the Staveley Community Trust said: “We had a really positive meeting with council leader Jonathan Brook and director of resources, Pam Duke, they were both good listeners.”
Last year Cumbria County Council refused to transfer the former home to the group as a “community asset”, saying the plan was not viable.
Instead it put the Abbey up for sale but said no acceptable offers were received.
Campaigners had raised £179,000 and secured a £260,000 grant from South Lakeland District Council to help develop the plans for home if it had been successful in buying it.
They hope Westmorland and Furness Council will complete the asset review by July.
Ms Michel said: “We’re in a different place with £179,000 already gathered and we feel we have the support of the local authority.
“Most of the money we’ve had pledged is held by Crowdfunder and can be released at any time, so far no one has asked for their money to be returned.
“The council told us they want to take a whole community approach and see how the building can be used by local people, which is at the heart of what we want to do.”