Campaigners have not thrown in the towel in their 10-year battle to save a row of Georgian houses in Dalston Lane, despite a High Court decision last month giving Hackney Council the green light to demolish them.

Conservation group OPEN (Organisation for Promotion of Environmental Needs Ltd) Dalston has filed an application in the Court of Appeal for permission to challenge the ruling after raising £10,000 from supporters.

OPEN had questioned whether permission granted in March at a council planning meeting to knock down the houses in Dalston Lane was lawful.

The council has a £2.38 million deal with Murphy Homes to build a 44 home development on the site – none of which is classed as “affordable” – and 1,000 square metres of open plan retail space.

Founder of OPEN Dalston, Bill Parry-Davies, who has dubbed the designs “Georgian Disney”, said: We have been supported financially and in spirit by local and national amenity societies and by many eminent people.

“The Judge’s decision was a sad and heavy blow to our campaign but it is the numerous smaller donations from the Dalston community which have inspired us to carry on.

“We have not given up hope that these surviving fragments of Dalston’s history can be saved and be admired by future generations.

“We also hope that, by providing affordable homes, at least some of our local families won’t be driven out of the community by the exorbitant local rents.”

When the ruling was made last month a council spokesman said: “This is a step forward to finally bring back into use this part of Dalston Lane, to provide space for existing and new businesses, as well as for new homes.”