Talks underway over Melbourne squatters

Talks are underway over squatters living in homes acquired by the Victorian government to build the dumped East West Link.

An injunction was granted earlier this month preventing Victoria Police and the state government from forcibly removing dozens of homeless squatters from 13 properties in Collingwood, Parkville and Clifton Hill.

The injunction was to remain effective until 10.30am on Wednesday and the matter was due return to the Supreme Court that afternoon.

But the case has been adjourned to Friday, and it's expected the injunction will effectively continue as the parties negotiate and steps are taken to address housing requirements.

The government says the properties have been leased by the Salvation Army for people in need, including women and children fleeing family violence.