A historic adobe structure at the center of a dispute between a group of Lamorinda residents and a developer may be sold to a local nonprofit and used as a teaching facility and clubhouse.

Developers J&J Ranch LLC and the Friends of the Joaquin Moraga Adobe are working on an agreement that could see the community group buying the Joaquin Moraga Adobe and opening it up to the public and to schoolchildren.

The developers had previously proposed converting the adobe -- which they will restore -- into a private clubhouse and meeting room for residents of a 13-lot subdivision in Orinda on which they plan to build homes.

According to the proposal, residents of the subdivision would still be responsible for regular maintenance of the Adobe and its grounds, and would be able to use the building as a clubhouse and meeting room.

The Friends appealed the project's approval last year by the city's planning commission. Another group of residents also appealed the streamlined environmental review process for the project, which critics argued was flawed.

The developers are expected to withdraw the initial project application and resubmit it once an agreement is reached. A full environmental review will follow, according to planning director Emmanuel Ursu.