Well that's surely the business of the EVR.
You say it's taking up 'valuable space' but in fact that space might not be particularly valuable - we (well, I at any rate) have no knowledge of the value of that space.
Isn't it up to the EVR to decide whether it wants to store the loco.? And similarly, it's up to them how much they charge, if anything, for the privilege.
It seems this thread has gone from telling an owner what he should do with his loco (ie scrap it) to telling heritage railways how they should manage their space (ie don't store locos being used as Christmas trees).
The ownership and storage of unrestored locos are not something that I let worry me, as I don't own any locos, and have no financial interest in any heritage railway.
If I had some financial interest in the EVR, perhaps then I might feel I should look into the matter, form an opinion and express it within that organisation.
And I believe the point Marmaduke was making was that space is usually at a premium on HR's and in my experience and I have a fair bit in restoration circles, very few HR's are savvy when it come to drawing up a commercial contract between the owner / restorer and themselves.
I'm pretty sure that the people on this forum have HR's and the whole preservation picture at heart, however noting your responses to various contributors, it would suggest you have little or no clue as to the workings of a railway.
They are businesses after all and as such as well as ensuring the financial viability, management are faced with ever increasing issues particularly increased energy costs.
Practically speaking they are always going to first look to utilising working locomotives, followed by units that need restoring, with owners who have the necessary financial resources.
Sadly there are too many people who embark on purchasing and restoration only to run out of steam when they realise the enormity and financial burden it will take.
The 9F and the 37 referenced of which I have seen them both at close quarters are classic cases of requiring massive amounts of money, time and equipment to get them restored.
Even if the owner or owners have the money, that's only one part of the equation, because having a supportive HR whose willing to afford you valued covered storage, plus access to the heavy engineering machinery is a big hurdle.
I would like to see every loco restored, however I am a realist as well and its unlikely to ever happen.
HR management need to consider situations very carefully