Awkward Situation...Suggestions?

A friend of my husband has been keeping his car in our garage for the past 6 or 7 months. He told my husband he'd rent the space from us for $100 a month. We haven't seen any of the money, but that's not really the issue. He's a friend, we're not taking a loss or anything, so it's not that big a deal to me. The problem is this...the car is so long and so wide that it's taking up all of our space. I have a hard time even squeezing the trash cans past it on trash day. It's starting to get irritating because it's impossible to keep the garage clean with his car in there. We have no room for our bikes, etc. Everything is just kind of lumped in a pile along the side of the garage. I've talked to my husband about this, and his friend was over in the next few days. I thought he was taking the car, but he and my husband had decided to just move it to the backyard! We live in a nice neighborhood, so obviously, I said never mind, leave it in the garage. So there it sits. When this whole thing started, the intention was that the car would only be here for a few months. It needed to be fixed up and plates needed to be put on it before he could keep it on the street in front of his house. He's only been over to 'work' on it three times. And I'm not quite sure what he did, because it still barely starts, the penger window is still broken, the upholstery is still torn, a tail light is still missing and the windshield is still cracked. We've given him complete access to the garage and have even let him know that he can still come over to work on it when we're not home. I feel like we're never going to get our garage back. I've talked to my husband several times, so he knows how I feel. He's a little irritated with the situation too, but doesn't know what to do about it. He doesn't want to caust a rift in their friendship, and I don't either. That's why I haven't demanded it be moved. Any suggestions on how to get this friend to take the car without causing trouble with the friendship?