Epping Forest District Council spent £277,425 in High Court action against the use of The Bell Hotel in Epping, according to figures obtained by the BBC.
The council was seeking an injunction against the hotel’s owners to try to stop asylum seekers staying there.
Councillor Chris Pond, leader of the Loughton Residents’ Association, told the BBC: “I think when you are engaging leading counsel, you are obviously talking about a big bill.
“It was the only option they had at the time.
“I don’t think the extra costs will be that significant. Most of them have already been incurred.
“I think we have got to pursue it. And I think the local residents would support that.”
The hotel, located in High Road, became the centre of protests and counter-protests during the summer after an asylum seeker staying there was arrested, later convicted, and deported for sexual assaults on a teenage girl and a woman.
In August, the council secured an interim court order to stop migrants being housed at the hotel, but this was later overturned by the Court of Appeal.
The council’s most recent challenge was dismissed by the High Court, but it is now seeking permission to appeal that decision.
The legal bill includes only the costs incurred to date and does not include any costs the authority might have to cover or any further legal action.
In November, councillors met in a closed session and agreed to continue pursuing the matter through the courts, but not without opposition.
Cllr Jon Whitehouse, leader of the council’s Liberal Democrat group, said: “The legal costs will be even higher now following the council’s decision in November to spend more time and money in the courts.
“Residents have gained nothing from court action so far.”
The council’s case centres on the argument that using the hotel to house asylum seekers represents a change of use that requires planning permission, which has not been obtained.
However, the most recent High Court ruling found that an injunction was “not an appropriate means of enforcing planning control”.
The council has since applied to the Court of Appeal to challenge the judgement and is currently awaiting a decision on whether it can proceed.
Epping Forest District Council has not yet responded publicly to the latest figure.
