diff --git a/descriptors/ModuleDescriptor-template.json b/descriptors/ModuleDescriptor-template.json
index 751c082bf9..b035324c8f 100644
--- a/descriptors/ModuleDescriptor-template.json
+++ b/descriptors/ModuleDescriptor-template.json
@@ -272,6 +272,20 @@
             "circulation.renew-loan.all"
           ]
         },
+        {
+          "methods": [
+            "POST"
+          ],
+          "pathPattern": "/circulation/pickup-by-barcode-for-use-at-location",
+          "permissionsRequired": []
+        },
+        {
+          "methods": [
+            "POST"
+          ],
+          "pathPattern": "/circulation/hold-by-barcode-for-use-at-location",
+          "permissionsRequired": []
+        },
         {
           "methods": [
             "GET"
diff --git a/ramls/examples/at-location-usage-status-change-error.json b/ramls/examples/at-location-usage-status-change-error.json
new file mode 100644
index 0000000000..97909e0fa9
--- /dev/null
+++ b/ramls/examples/at-location-usage-status-change-error.json
@@ -0,0 +1,13 @@
+{
+  "errors": [
+    {
+      "message": "TBD",
+      "parameters": [
+        {
+          "key": "itemId",
+          "value": "91719676-e7b5-4f83-bdab-cb70dd10c1e3"
+        }
+      ]
+    }
+  ]
+}
diff --git a/ramls/for-use-at-location-shelf.raml b/ramls/for-use-at-location-shelf.raml
new file mode 100644
index 0000000000..5e1e3f9e3d
--- /dev/null
+++ b/ramls/for-use-at-location-shelf.raml
@@ -0,0 +1,62 @@
+#%RAML 1.0
+title: Change usage status of items to be used at location (ie reading room)
+version: v0.1
+protocols: [ HTTP, HTTPS ]
+baseUri: http://localhost:9130
+
+documentation:
+  - title: API for changing usage status of items used at location
+    content: <b>Change usage status API</b>
+
+types:
+  errors: !include raml-util/schemas/errors.schema
+
+traits:
+  validate: !include raml-util/traits/validation.raml
+
+/circulation:
+  /hold-by-barcode-for-use-at-location:
+    post:
+      is: [validate]
+      body:
+        application/json:
+          type: !include hold-for-use-at-location-request.json
+      responses:
+        200:
+          description: "The at-location usage status of the loaned item set to held"
+        422:
+          description: "Unable to change the usage status for the loan"
+          body:
+            application/json:
+              type: errors
+              example: !include examples/at-location-usage-status-change-error.json
+        404:
+          description: "The loan is not found"
+        500:
+          description: "Internal server error, e.g. due to misconfiguration"
+          body:
+            text/plain:
+              example: "Internal server error, contact administrator"
+
+  /pickup-by-barcode-for-use-at-location:
+    post:
+      is: [validate]
+      body:
+        application/json:
+          type: !include pickup-for-use-at-location-request.json
+      responses:
+        200:
+          description: "The at-location usage status of the loaned item set to in-use"
+        422:
+          description: "Unable to change the usage status for the loan"
+          body:
+            application/json:
+              type: errors
+              example: !include examples/at-location-usage-status-change-error.json
+        404:
+          description: "The loan is not found"
+        500:
+          description: "Internal server error, e.g. due to misconfiguration"
+          body:
+            text/plain:
+              example: "Internal server error, contact administrator"
diff --git a/ramls/hold-for-use-at-location-request.json b/ramls/hold-for-use-at-location-request.json
new file mode 100644
index 0000000000..eef6c19853
--- /dev/null
+++ b/ramls/hold-for-use-at-location-request.json
@@ -0,0 +1,14 @@
+{
+  "$schema": "http://json-schema.org/draft-04/schema#",
+  "type": "object",
+  "description": "Request to switch status of use at location to 'Held'",
+  "properties": {
+    "itemBarcode": {
+      "description": "Barcode of the item being in use at location",
+      "type": "string"
+    }
+  },
+  "required": [
+    "itemBarcode"
+  ]
+}
diff --git a/ramls/loan.json b/ramls/loan.json
index 05e92a46c8..96387df488 100644
--- a/ramls/loan.json
+++ b/ramls/loan.json
@@ -281,6 +281,26 @@
         }
       }
     },
+    "forUseAtLocation": {
+      "description": "Status of loan/item that is to be used in the library",
+      "type": "object",
+      "properties": {
+        "status": {
+          "description": "Indicates if the item is currently used by or being held for the patron",
+          "type": "string",
+          "enum": [
+            "In use",
+            "Held",
+            "Returned"
+          ]
+        },
+        "statusDate": {
+          "description": "Date and time the status was registered",
+          "type": "string",
+          "format": "date-time"
+        }
+      }
+    },
     "loanDate": {
       "description": "Date and time when the loan began",
       "type": "string",
diff --git a/ramls/pickup-for-use-at-location-request.json b/ramls/pickup-for-use-at-location-request.json
new file mode 100644
index 0000000000..e7dba09be7
--- /dev/null
+++ b/ramls/pickup-for-use-at-location-request.json
@@ -0,0 +1,19 @@
+{
+  "$schema": "http://json-schema.org/draft-04/schema#",
+  "type": "object",
+  "description": "Request to switch status of use at location to 'In use'",
+  "properties": {
+    "itemBarcode": {
+      "description": "Barcode of the item lent to the patron for use at location",
+      "type": "string"
+    },
+    "userBarcode": {
+      "description": "Barcode of the user (representing the patron)",
+      "type": "string"
+    }
+  },
+  "required": [
+    "itemBarcode",
+    "userBarcode"
+  ]
+}
diff --git a/ramls/put-on-hold-for-use-at-location.json b/ramls/put-on-hold-for-use-at-location.json
new file mode 100644
index 0000000000..6c46045d5b
--- /dev/null
+++ b/ramls/put-on-hold-for-use-at-location.json
@@ -0,0 +1,14 @@
+{
+  "$schema": "http://json-schema.org/draft-04/schema#",
+  "type": "object",
+  "description": "Request to switch status of use at location to 'Held'",
+  "properties": {
+    "itemBarcode": {
+      "description": "Barcode of the item lent to the patron for use at location",
+      "type": "string"
+    }
+  },
+  "required": [
+    "itemBarcode"
+  ]
+}
diff --git a/src/main/java/org/folio/circulation/CirculationVerticle.java b/src/main/java/org/folio/circulation/CirculationVerticle.java
index 3cf5912167..207f19d4a7 100644
--- a/src/main/java/org/folio/circulation/CirculationVerticle.java
+++ b/src/main/java/org/folio/circulation/CirculationVerticle.java
@@ -52,6 +52,8 @@
 import org.folio.circulation.resources.handlers.LoanRelatedFeeFineClosedHandlerResource;
 import org.folio.circulation.resources.renewal.RenewByBarcodeResource;
 import org.folio.circulation.resources.renewal.RenewByIdResource;
+import org.folio.circulation.resources.foruseatlocation.HoldByBarcodeResource;
+import org.folio.circulation.resources.foruseatlocation.PickUpByBarcodeResource;
 import org.folio.circulation.support.logging.LogHelper;
 import org.folio.circulation.support.logging.Logging;
 
@@ -97,7 +99,8 @@ public void start(Promise<Void> startFuture) {
 
     new RenewByBarcodeResource(client).register(router);
     new RenewByIdResource(client).register(router);
-
+    new HoldByBarcodeResource(client).register(router);
+    new PickUpByBarcodeResource(client).register(router);
     new AllowedServicePointsResource(client).register(router);
     new LoanCollectionResource(client).register(router);
     new RequestCollectionResource(client).register(router);
diff --git a/src/main/java/org/folio/circulation/domain/EventType.java b/src/main/java/org/folio/circulation/domain/EventType.java
index 7c94f2d9c0..6ed9973906 100644
--- a/src/main/java/org/folio/circulation/domain/EventType.java
+++ b/src/main/java/org/folio/circulation/domain/EventType.java
@@ -10,5 +10,7 @@ public enum EventType {
   LOAN_DUE_DATE_CHANGED,
   LOAN_CLOSED,
   LOG_RECORD,
-  LOAN_RELATED_FEE_FINE_CLOSED
+  LOAN_RELATED_FEE_FINE_CLOSED,
+  ITEM_HELD_FOR_USE_AT_LOCATION,
+  ITEM_PICKED_UP_FOR_USE_AT_LOCATION
 }
diff --git a/src/main/java/org/folio/circulation/domain/Loan.java b/src/main/java/org/folio/circulation/domain/Loan.java
index 0464fb2edd..d47908396e 100644
--- a/src/main/java/org/folio/circulation/domain/Loan.java
+++ b/src/main/java/org/folio/circulation/domain/Loan.java
@@ -21,6 +21,8 @@
 import static org.folio.circulation.domain.representations.LoanProperties.ACTION_COMMENT;
 import static org.folio.circulation.domain.representations.LoanProperties.AGED_TO_LOST_DATE;
 import static org.folio.circulation.domain.representations.LoanProperties.AGED_TO_LOST_DELAYED_BILLING;
+import static org.folio.circulation.domain.representations.LoanProperties.AT_LOCATION_USE_STATUS;
+import static org.folio.circulation.domain.representations.LoanProperties.AT_LOCATION_USE_STATUS_DATE;
 import static org.folio.circulation.domain.representations.LoanProperties.BILL_DATE;
 import static org.folio.circulation.domain.representations.LoanProperties.BILL_NUMBER;
 import static org.folio.circulation.domain.representations.LoanProperties.CHECKIN_SERVICE_POINT_ID;
@@ -30,6 +32,7 @@
 import static org.folio.circulation.domain.representations.LoanProperties.DATE_LOST_ITEM_SHOULD_BE_BILLED;
 import static org.folio.circulation.domain.representations.LoanProperties.DECLARED_LOST_DATE;
 import static org.folio.circulation.domain.representations.LoanProperties.DUE_DATE;
+import static org.folio.circulation.domain.representations.LoanProperties.FOR_USE_AT_LOCATION;
 import static org.folio.circulation.domain.representations.LoanProperties.ITEM_LOCATION_ID_AT_CHECKOUT;
 import static org.folio.circulation.domain.representations.LoanProperties.ITEM_STATUS;
 import static org.folio.circulation.domain.representations.LoanProperties.LAST_FEE_BILLED;
@@ -207,6 +210,16 @@ public String getAction() {
     return getProperty(representation, ACTION);
   }
 
+  public Loan changeStatusOfUsageAtLocation(String usageStatus) {
+    writeByPath(representation, usageStatus, FOR_USE_AT_LOCATION, AT_LOCATION_USE_STATUS);
+    writeByPath(representation, ClockUtil.getZonedDateTime().toString(), FOR_USE_AT_LOCATION, AT_LOCATION_USE_STATUS_DATE);
+    return this;
+  }
+
+  public boolean isForUseAtLocation() {
+    return representation.containsKey(FOR_USE_AT_LOCATION);
+  }
+
   private void changeCheckInServicePointId(UUID servicePointId) {
     log.debug("changeCheckInServicePointId:: parameters servicePointId: {}", servicePointId);
     write(representation, "checkinServicePointId", servicePointId);
@@ -736,7 +749,6 @@ private void changeClaimedReturnedDate(ZonedDateTime claimedReturnedDate) {
   public Loan closeLoan(LoanAction action) {
     log.debug("closeLoan:: parameters action: {}", action);
     changeStatus(LoanStatus.CLOSED);
-
     changeAction(action);
     removeActionComment();
 
diff --git a/src/main/java/org/folio/circulation/domain/LoanAction.java b/src/main/java/org/folio/circulation/domain/LoanAction.java
index 87fb1dbc7d..ed85cc6f8a 100644
--- a/src/main/java/org/folio/circulation/domain/LoanAction.java
+++ b/src/main/java/org/folio/circulation/domain/LoanAction.java
@@ -23,9 +23,9 @@ public enum LoanAction {
   STAFF_INFO_ADDED("staffInfoAdded"),
   RESOLVE_CLAIM_AS_RETURNED_BY_PATRON("checkedInReturnedByPatron"),
   RESOLVE_CLAIM_AS_FOUND_BY_LIBRARY("checkedInFoundByLibrary"),
-
-  REMINDER_FEE("reminderFee");
-
+  REMINDER_FEE("reminderFee"),
+  HELD_FOR_USE_AT_LOCATION("heldForUseAtLocation"),
+  PICKED_UP_FOR_USE_AT_LOCATION ("pickedUpForUseAtLocation");
   private final String value;
 
   LoanAction(String value) {
diff --git a/src/main/java/org/folio/circulation/domain/LoanCheckInService.java b/src/main/java/org/folio/circulation/domain/LoanCheckInService.java
index 78bf759466..2456005560 100644
--- a/src/main/java/org/folio/circulation/domain/LoanCheckInService.java
+++ b/src/main/java/org/folio/circulation/domain/LoanCheckInService.java
@@ -39,6 +39,10 @@ public Result<Loan> checkIn(Loan loan, ZonedDateTime systemDateTime,
       loan.removeAgedToLostBillingInfo();
     }
 
+    if (loan.isForUseAtLocation()) {
+      loan.changeStatusOfUsageAtLocation("Returned");
+    }
+
     return succeeded(loan.checkIn(request.getCheckInDate(), systemDateTime,
       request.getServicePointId()));
   }
diff --git a/src/main/java/org/folio/circulation/domain/policy/LoanPolicy.java b/src/main/java/org/folio/circulation/domain/policy/LoanPolicy.java
index 26d9039b3a..26fd8f96cb 100644
--- a/src/main/java/org/folio/circulation/domain/policy/LoanPolicy.java
+++ b/src/main/java/org/folio/circulation/domain/policy/LoanPolicy.java
@@ -50,6 +50,7 @@ public class LoanPolicy extends Policy {
   private static final String ALTERNATE_RENEWAL_LOAN_PERIOD_KEY = "alternateRenewalLoanPeriod";
   private static final String ALLOW_RECALLS_TO_EXTEND_OVERDUE_LOANS = "allowRecallsToExtendOverdueLoans";
   private static final String ALTERNATE_RECALL_RETURN_INTERVAL = "alternateRecallReturnInterval";
+  private static final String FOR_USE_AT_LOCATION = "forUseAtLocation";
 
   private static final String INTERVAL_ID = "intervalId";
   private static final String DURATION = "duration";
@@ -345,6 +346,10 @@ public boolean isNotLoanable() {
     return !isLoanable();
   }
 
+  public boolean isForUseAtLocation() {
+    return getBooleanProperty(getLoansPolicy(), FOR_USE_AT_LOCATION);
+  }
+
   public DueDateManagement getDueDateManagement() {
     JsonObject loansPolicyObj = getLoansPolicy();
     if (Objects.isNull(loansPolicyObj)) {
diff --git a/src/main/java/org/folio/circulation/domain/representations/LoanProperties.java b/src/main/java/org/folio/circulation/domain/representations/LoanProperties.java
index f76015c503..784ed9ffcb 100644
--- a/src/main/java/org/folio/circulation/domain/representations/LoanProperties.java
+++ b/src/main/java/org/folio/circulation/domain/representations/LoanProperties.java
@@ -34,8 +34,13 @@ private LoanProperties() { }
   public static final String DATE_LOST_ITEM_SHOULD_BE_BILLED = "dateLostItemShouldBeBilled";
   public static final String METADATA = "metadata";
   public static final String UPDATED_BY_USER_ID = "updatedByUserId";
+  public static final String FOR_USE_AT_LOCATION = "forUseAtLocation";
+  public static final String AT_LOCATION_USE_STATUS = "status";
+  public static final String AT_LOCATION_USE_STATUS_DATE = "statusDate";
+  public static final String USAGE_STATUS_IN_USE = "In use";
+  public static final String USAGE_STATUS_HELD = "Held";
+  public static final String USAGE_STATUS_RETURNED = "Returned";
   public static final String CREATED_DATE = "createdDate";
-
   public static final String REMINDERS = "reminders";
   public static final String LAST_FEE_BILLED = "lastFeeBilled";
   public static final String BILL_NUMBER = "number";
diff --git a/src/main/java/org/folio/circulation/domain/representations/logs/LogContextActionResolver.java b/src/main/java/org/folio/circulation/domain/representations/logs/LogContextActionResolver.java
index 78056f8de8..3465252bcd 100644
--- a/src/main/java/org/folio/circulation/domain/representations/logs/LogContextActionResolver.java
+++ b/src/main/java/org/folio/circulation/domain/representations/logs/LogContextActionResolver.java
@@ -7,8 +7,10 @@
 import static org.folio.circulation.domain.LoanAction.CLOSED_LOAN;
 import static org.folio.circulation.domain.LoanAction.DECLARED_LOST;
 import static org.folio.circulation.domain.LoanAction.DUE_DATE_CHANGED;
+import static org.folio.circulation.domain.LoanAction.HELD_FOR_USE_AT_LOCATION;
 import static org.folio.circulation.domain.LoanAction.ITEM_AGED_TO_LOST;
 import static org.folio.circulation.domain.LoanAction.MISSING;
+import static org.folio.circulation.domain.LoanAction.PICKED_UP_FOR_USE_AT_LOCATION;
 import static org.folio.circulation.domain.LoanAction.RECALLREQUESTED;
 import static org.folio.circulation.domain.LoanAction.RENEWED;
 import static org.folio.circulation.domain.LoanAction.RENEWED_THROUGH_OVERRIDE;
@@ -39,6 +41,8 @@ public class LogContextActionResolver {
     loanLogActions.put(DUE_DATE_CHANGED.getValue(), "Changed due date");
     loanLogActions.put(PATRON_INFO_ADDED.getValue(), "Patron info added");
     loanLogActions.put(STAFF_INFO_ADDED.getValue(), "Staff info added");
+    loanLogActions.put(HELD_FOR_USE_AT_LOCATION.getValue(),"Held for use at location");
+    loanLogActions.put(PICKED_UP_FOR_USE_AT_LOCATION.getValue(), "Picked up for use at location");
   }
 
   public static String resolveAction(String action) {
diff --git a/src/main/java/org/folio/circulation/domain/representations/logs/LogEventType.java b/src/main/java/org/folio/circulation/domain/representations/logs/LogEventType.java
index c78301c543..1cdfada2c0 100644
--- a/src/main/java/org/folio/circulation/domain/representations/logs/LogEventType.java
+++ b/src/main/java/org/folio/circulation/domain/representations/logs/LogEventType.java
@@ -11,7 +11,9 @@ public enum LogEventType {
   REQUEST_CREATED_THROUGH_OVERRIDE("REQUEST_CREATED_THROUGH_OVERRIDE_EVENT"),
   REQUEST_UPDATED("REQUEST_UPDATED_EVENT"),
   REQUEST_MOVED("REQUEST_MOVED_EVENT"),
-  REQUEST_REORDERED("REQUEST_REORDERED_EVENT");
+  REQUEST_REORDERED("REQUEST_REORDERED_EVENT"),
+  HELD_FOR_USE_AT_LOCATION("HELD_FOR_USE_AT_LOCATION_EVENT"),
+  PICKED_UP_FOR_USE_AT_LOCATION("PICKED_UP_FOR_USE_AT_LOCATION_EVENT");
 
   private final String value;
 
diff --git a/src/main/java/org/folio/circulation/resources/CheckInByBarcodeResource.java b/src/main/java/org/folio/circulation/resources/CheckInByBarcodeResource.java
index f55c6eabe1..8a25890f4b 100644
--- a/src/main/java/org/folio/circulation/resources/CheckInByBarcodeResource.java
+++ b/src/main/java/org/folio/circulation/resources/CheckInByBarcodeResource.java
@@ -105,6 +105,7 @@ private void checkIn(RoutingContext routingContext) {
         processAdapter::findSingleOpenLoan, CheckInContext::withLoan))
       .thenComposeAsync(findLoanResult -> findLoanResult.combineAfter(
         processAdapter::checkInLoan, CheckInContext::withLoan))
+      .thenApply(r -> r.map(processAdapter::markReturnedIfForUseAtLocation))
       .thenComposeAsync(checkInLoan -> checkInLoan.combineAfter(
         processAdapter::updateRequestQueue, CheckInContext::withRequestQueue))
         .thenComposeAsync(r -> r.after(processAdapter::findFulfillableRequest))
diff --git a/src/main/java/org/folio/circulation/resources/CheckInProcessAdapter.java b/src/main/java/org/folio/circulation/resources/CheckInProcessAdapter.java
index 0515c3c304..5c8caf4564 100644
--- a/src/main/java/org/folio/circulation/resources/CheckInProcessAdapter.java
+++ b/src/main/java/org/folio/circulation/resources/CheckInProcessAdapter.java
@@ -1,6 +1,7 @@
 package org.folio.circulation.resources;
 
 import static java.util.concurrent.CompletableFuture.completedFuture;
+import static org.folio.circulation.domain.representations.LoanProperties.USAGE_STATUS_RETURNED;
 import static org.folio.circulation.support.results.Result.succeeded;
 
 import java.lang.invoke.MethodHandles;
@@ -274,6 +275,14 @@ CheckInContext setInHouseUse(CheckInContext checkInContext) {
         checkInContext.getCheckInRequest()));
   }
 
+  CheckInContext markReturnedIfForUseAtLocation(CheckInContext checkInContext) {
+    Loan loan = checkInContext.getLoan();
+    if (loan != null && loan.isForUseAtLocation()) {
+      loan.changeStatusOfUsageAtLocation(USAGE_STATUS_RETURNED);
+    }
+    return checkInContext;
+  }
+
   public CompletableFuture<Result<CheckInContext>> logCheckInOperation(
     CheckInContext checkInContext) {
 
diff --git a/src/main/java/org/folio/circulation/resources/CheckOutByBarcodeResource.java b/src/main/java/org/folio/circulation/resources/CheckOutByBarcodeResource.java
index 2467dc4a1d..81da450f09 100644
--- a/src/main/java/org/folio/circulation/resources/CheckOutByBarcodeResource.java
+++ b/src/main/java/org/folio/circulation/resources/CheckOutByBarcodeResource.java
@@ -3,6 +3,7 @@
 import static java.util.concurrent.CompletableFuture.completedFuture;
 import static org.folio.circulation.domain.ItemStatus.CHECKED_OUT;
 import static org.folio.circulation.domain.LoanAction.CHECKED_OUT_THROUGH_OVERRIDE;
+import static org.folio.circulation.domain.representations.LoanProperties.USAGE_STATUS_IN_USE;
 import static org.folio.circulation.resources.handlers.error.CirculationErrorType.FAILED_TO_FETCH_ITEM;
 import static org.folio.circulation.resources.handlers.error.CirculationErrorType.FAILED_TO_FETCH_PROXY_USER;
 import static org.folio.circulation.resources.handlers.error.CirculationErrorType.FAILED_TO_FETCH_USER;
@@ -178,6 +179,7 @@ CompletableFuture<Result<LoanAndRelatedRecords>> checkOut(CheckOutByBarcodeReque
       .thenApply(r -> r.next(this::setItemLocationIdAtCheckout))
       .thenComposeAsync(r -> r.after(records -> checkOut(records, clients)))
       .thenApply(r -> r.map(this::checkOutItem))
+      .thenApply(r -> r.map(this::markInUseIfForUseAtLocation))
       .thenCompose(r -> r.after(l -> acquireLockIfNeededOrFail(settingsRepository,
         checkOutLockRepository, l, checkOutLockId, validators, errorHandler)))
       .thenComposeAsync(r -> r.after(requestQueueUpdate::onCheckOut))
@@ -305,6 +307,14 @@ private LoanAndRelatedRecords checkOutItem(LoanAndRelatedRecords loanAndRelatedR
     return loanAndRelatedRecords.changeItemStatus(CHECKED_OUT);
   }
 
+  private LoanAndRelatedRecords markInUseIfForUseAtLocation(LoanAndRelatedRecords loanAndRelatedRecords) {
+    Loan loan = loanAndRelatedRecords.getLoan();
+    if (loan.getLoanPolicy().isForUseAtLocation()) {
+      loan.changeStatusOfUsageAtLocation(USAGE_STATUS_IN_USE);
+    }
+    return loanAndRelatedRecords;
+  }
+
   private Result<HttpResponse> createdLoanFrom(Result<JsonObject> result,
     CirculationErrorHandler errorHandler) {
 
diff --git a/src/main/java/org/folio/circulation/resources/foruseatlocation/HoldByBarcodeRequest.java b/src/main/java/org/folio/circulation/resources/foruseatlocation/HoldByBarcodeRequest.java
new file mode 100644
index 0000000000..1d39bab74e
--- /dev/null
+++ b/src/main/java/org/folio/circulation/resources/foruseatlocation/HoldByBarcodeRequest.java
@@ -0,0 +1,31 @@
+package org.folio.circulation.resources.foruseatlocation;
+
+import io.vertx.core.json.JsonObject;
+import lombok.AllArgsConstructor;
+import lombok.Getter;
+import org.folio.circulation.support.results.Result;
+
+import static org.apache.commons.lang3.StringUtils.isBlank;
+import static org.folio.circulation.support.ValidationErrorFailure.failedValidation;
+import static org.folio.circulation.support.json.JsonPropertyFetcher.getProperty;
+import static org.folio.circulation.support.results.Result.succeeded;
+
+@Getter
+@AllArgsConstructor
+public class HoldByBarcodeRequest {
+  private static final String ITEM_BARCODE = "itemBarcode";
+
+  private final String itemBarcode;
+
+  static Result<HoldByBarcodeRequest> buildRequestFrom(JsonObject json) {
+    final String itemBarcode = getProperty(json, ITEM_BARCODE);
+
+    if (isBlank(itemBarcode)) {
+      return failedValidation("Request to put item on hold shelf must have an item barcode",
+        ITEM_BARCODE, null);
+    }
+
+    return succeeded(new HoldByBarcodeRequest(itemBarcode));
+
+  }
+}
diff --git a/src/main/java/org/folio/circulation/resources/foruseatlocation/HoldByBarcodeResource.java b/src/main/java/org/folio/circulation/resources/foruseatlocation/HoldByBarcodeResource.java
new file mode 100644
index 0000000000..e124ed21ba
--- /dev/null
+++ b/src/main/java/org/folio/circulation/resources/foruseatlocation/HoldByBarcodeResource.java
@@ -0,0 +1,113 @@
+package org.folio.circulation.resources.foruseatlocation;
+
+import io.vertx.core.http.HttpClient;
+import io.vertx.core.json.JsonObject;
+import io.vertx.ext.web.Router;
+import io.vertx.ext.web.RoutingContext;
+import org.folio.circulation.domain.Loan;
+import org.folio.circulation.domain.LoanAction;
+import org.folio.circulation.domain.representations.logs.LogEventType;
+import org.folio.circulation.infrastructure.storage.inventory.ItemRepository;
+import org.folio.circulation.infrastructure.storage.loans.LoanRepository;
+import org.folio.circulation.infrastructure.storage.users.UserRepository;
+import org.folio.circulation.resources.Resource;
+import org.folio.circulation.resources.handlers.error.CirculationErrorHandler;
+import org.folio.circulation.resources.handlers.error.OverridingErrorHandler;
+import org.folio.circulation.services.EventPublisher;
+import org.folio.circulation.storage.ItemByBarcodeInStorageFinder;
+import org.folio.circulation.storage.SingleOpenLoanForItemInStorageFinder;
+import org.folio.circulation.support.BadRequestFailure;
+import org.folio.circulation.support.Clients;
+import org.folio.circulation.support.HttpFailure;
+import org.folio.circulation.support.RouteRegistration;
+import org.folio.circulation.support.http.OkapiPermissions;
+import org.folio.circulation.support.http.server.HttpResponse;
+import org.folio.circulation.support.http.server.JsonHttpResponse;
+import org.folio.circulation.support.http.server.WebContext;
+import org.folio.circulation.support.results.Result;
+
+import java.util.concurrent.CompletableFuture;
+import java.util.function.Supplier;
+
+import static java.lang.String.format;
+import static org.folio.circulation.domain.representations.LoanProperties.USAGE_STATUS_HELD;
+import static org.folio.circulation.resources.handlers.error.CirculationErrorType.FAILED_TO_FIND_SINGLE_OPEN_LOAN;
+
+public class HoldByBarcodeResource extends Resource {
+  private static final String rootPath = "/circulation/hold-by-barcode-for-use-at-location";
+
+  public HoldByBarcodeResource(HttpClient client) {
+    super(client);
+  }
+
+  @Override
+  public void register(Router router) {
+    new RouteRegistration(rootPath, router).create(this::markHeld);
+  }
+
+  private void markHeld(RoutingContext routingContext) {
+    final WebContext webContext = new WebContext(routingContext);
+    final Clients clients = Clients.create(webContext, client);
+    final OkapiPermissions okapiPermissions = OkapiPermissions.from(webContext.getHeaders());
+    final CirculationErrorHandler errorHandler = new OverridingErrorHandler(okapiPermissions);
+    final var itemRepository = new ItemRepository(clients);
+    final var userRepository = new UserRepository(clients);
+    final var loanRepository = new LoanRepository(clients, itemRepository, userRepository);
+    final EventPublisher eventPublisher = new EventPublisher(routingContext);
+
+    JsonObject requestBodyAsJson = routingContext.body().asJsonObject();
+    Result<HoldByBarcodeRequest> requestResult = HoldByBarcodeRequest.buildRequestFrom(requestBodyAsJson);
+
+    requestResult
+      .after(request -> findLoan(request, loanRepository, itemRepository, userRepository, errorHandler))
+      .thenApply(loan -> failWhenOpenLoanNotFoundForItem(loan, requestResult.value()))
+      .thenApply(loanResult -> loanResult.map(loan -> loan.changeStatusOfUsageAtLocation(USAGE_STATUS_HELD)))
+      .thenApply(loanResult -> loanResult.map(loan -> loan.withAction(LoanAction.HELD_FOR_USE_AT_LOCATION)))
+      .thenCompose(loanResult -> loanResult.after(
+          loan -> loanRepository.updateLoan(loanResult.value())))
+      .thenCompose(loanResult -> loanResult.after(
+        loan -> eventPublisher.publishUsageAtLocationEvent(loan, LogEventType.HELD_FOR_USE_AT_LOCATION)))
+      .thenApply(loanResult -> loanResult.map(Loan::asJson))
+      .thenApply(loanAsJsonResult -> loanAsJsonResult.map(this::toResponse))
+      .thenAccept(webContext::writeResultToHttpResponse);
+  }
+
+  protected CompletableFuture<Result<Loan>> findLoan(HoldByBarcodeRequest request,
+                                                     LoanRepository loanRepository,
+                                                     ItemRepository itemRepository,
+                                                     UserRepository userRepository,
+                                                     CirculationErrorHandler errorHandler) {
+
+    final ItemByBarcodeInStorageFinder itemFinder =
+      new ItemByBarcodeInStorageFinder(itemRepository);
+
+    final SingleOpenLoanForItemInStorageFinder loanFinder =
+      new SingleOpenLoanForItemInStorageFinder(loanRepository, userRepository, false);
+
+    return itemFinder.findItemByBarcode(request.getItemBarcode())
+      .thenCompose(itemResult -> itemResult.after(loanFinder::findSingleOpenLoan)
+        .thenApply(r -> errorHandler.handleValidationResult(r, FAILED_TO_FIND_SINGLE_OPEN_LOAN, (Loan) null))
+      );
+  }
+
+  private Result<Loan> failWhenOpenLoanNotFoundForItem (Result<Loan> loanResult, HoldByBarcodeRequest request) {
+    return loanResult.failWhen(this::loanIsNull, loan -> noOpenLoanFailure(request).get());
+  }
+
+  private Result<Boolean> loanIsNull (Loan loan) {
+    return Result.succeeded(loan == null);
+  }
+
+  private static Supplier<HttpFailure> noOpenLoanFailure(HoldByBarcodeRequest request) {
+    return () -> new BadRequestFailure(
+      format("No open loan found for the item barcode (%s)", request.getItemBarcode())
+    );
+  }
+
+  private HttpResponse toResponse(JsonObject body) {
+    return JsonHttpResponse.ok(body,
+      format("/circulation/loans/%s", body.getString("id")));
+  }
+
+
+}
diff --git a/src/main/java/org/folio/circulation/resources/foruseatlocation/PickUpByBarcodeResource.java b/src/main/java/org/folio/circulation/resources/foruseatlocation/PickUpByBarcodeResource.java
new file mode 100644
index 0000000000..4f521de143
--- /dev/null
+++ b/src/main/java/org/folio/circulation/resources/foruseatlocation/PickUpByBarcodeResource.java
@@ -0,0 +1,112 @@
+package org.folio.circulation.resources.foruseatlocation;
+
+import io.vertx.core.http.HttpClient;
+import io.vertx.core.json.JsonObject;
+import io.vertx.ext.web.Router;
+import io.vertx.ext.web.RoutingContext;
+import org.folio.circulation.domain.Loan;
+import org.folio.circulation.domain.LoanAction;
+import org.folio.circulation.domain.representations.logs.LogEventType;
+import org.folio.circulation.infrastructure.storage.inventory.ItemRepository;
+import org.folio.circulation.infrastructure.storage.loans.LoanRepository;
+import org.folio.circulation.infrastructure.storage.users.UserRepository;
+import org.folio.circulation.resources.Resource;
+import org.folio.circulation.resources.handlers.error.CirculationErrorHandler;
+import org.folio.circulation.resources.handlers.error.OverridingErrorHandler;
+import org.folio.circulation.services.EventPublisher;
+import org.folio.circulation.storage.SingleOpenLoanByUserAndItemBarcodeFinder;
+import org.folio.circulation.support.BadRequestFailure;
+import org.folio.circulation.support.Clients;
+import org.folio.circulation.support.HttpFailure;
+import org.folio.circulation.support.RouteRegistration;
+import org.folio.circulation.support.http.OkapiPermissions;
+import org.folio.circulation.support.http.server.HttpResponse;
+import org.folio.circulation.support.http.server.JsonHttpResponse;
+import org.folio.circulation.support.http.server.WebContext;
+import org.folio.circulation.support.results.Result;
+
+import java.util.concurrent.CompletableFuture;
+import java.util.function.Supplier;
+
+import static java.lang.String.format;
+import static org.folio.circulation.domain.representations.LoanProperties.USAGE_STATUS_IN_USE;
+import static org.folio.circulation.resources.foruseatlocation.PickupByBarcodeRequest.buildRequestFrom;
+
+import static org.folio.circulation.resources.handlers.error.CirculationErrorType.FAILED_TO_FIND_SINGLE_OPEN_LOAN;
+
+public class PickUpByBarcodeResource extends Resource {
+
+  private static final String rootPath = "/circulation/pickup-by-barcode-for-use-at-location";
+
+  public PickUpByBarcodeResource(HttpClient client) {
+    super(client);
+  }
+
+  @Override
+  public void register(Router router) {
+    new RouteRegistration(rootPath, router).create(this::markInUse);
+  }
+
+  private void markInUse(RoutingContext routingContext) {
+    final WebContext webContext = new WebContext(routingContext);
+    final Clients clients = Clients.create(webContext, client);
+    final OkapiPermissions okapiPermissions = OkapiPermissions.from(webContext.getHeaders());
+    final CirculationErrorHandler errorHandler = new OverridingErrorHandler(okapiPermissions);
+    final var itemRepository = new ItemRepository(clients);
+    final var userRepository = new UserRepository(clients);
+    final var loanRepository = new LoanRepository(clients, itemRepository, userRepository);
+    final EventPublisher eventPublisher = new EventPublisher(routingContext);
+
+    JsonObject requestBodyAsJson = routingContext.body().asJsonObject();
+    Result<PickupByBarcodeRequest> pickupByBarcodeRequest = buildRequestFrom(requestBodyAsJson);
+
+    pickupByBarcodeRequest
+      .after(request -> findLoan(request, loanRepository, itemRepository, userRepository, errorHandler))
+      .thenApply(loan -> failWhenOpenLoanForItemAndUserNotFound(loan, pickupByBarcodeRequest.value()))
+      .thenApply(loanResult -> loanResult.map(loan ->
+        loan.changeStatusOfUsageAtLocation(USAGE_STATUS_IN_USE)
+          .withAction(LoanAction.PICKED_UP_FOR_USE_AT_LOCATION)))
+      .thenCompose(loanResult -> loanResult.after(
+        loan -> loanRepository.updateLoan(loanResult.value())))
+      .thenCompose(loanResult -> loanResult.after(
+        loan -> eventPublisher.publishUsageAtLocationEvent(loan, LogEventType.PICKED_UP_FOR_USE_AT_LOCATION)))
+      .thenApply(loanResult -> loanResult.map(Loan::asJson))
+      .thenApply(jsonResult -> jsonResult.map(this::toResponse))
+      .thenAccept(webContext::writeResultToHttpResponse);
+  }
+
+  protected CompletableFuture<Result<Loan>> findLoan(PickupByBarcodeRequest request,
+                                                     LoanRepository loanRepository,
+                                                     ItemRepository itemRepository,
+                                                     UserRepository userRepository,
+                                                     CirculationErrorHandler errorHandler) {
+
+    final SingleOpenLoanByUserAndItemBarcodeFinder loanFinder
+      = new SingleOpenLoanByUserAndItemBarcodeFinder(loanRepository,
+      itemRepository, userRepository);
+
+    return loanFinder.findLoan(request.getItemBarcode(), request.getUserBarcode())
+        .thenApply(r -> errorHandler.handleValidationResult(r, FAILED_TO_FIND_SINGLE_OPEN_LOAN, r.value()));
+  }
+
+  private HttpResponse toResponse(JsonObject body) {
+    return JsonHttpResponse.ok(body,
+      format("/circulation/loans/%s", body.getString("id")));
+  }
+
+  private Result<Loan> failWhenOpenLoanForItemAndUserNotFound (Result<Loan> loanResult, PickupByBarcodeRequest request) {
+    return loanResult.failWhen(this::loanIsNull, loan -> noOpenLoanFailure(request).get());
+  }
+
+  private Result<Boolean> loanIsNull (Loan loan) {
+    return Result.succeeded(loan == null);
+  }
+
+  private static Supplier<HttpFailure> noOpenLoanFailure(PickupByBarcodeRequest request) {
+    return () -> new BadRequestFailure(
+      format("No open loan found for item barcode (%s) and user (%s)",
+        request.getItemBarcode(), request.getUserBarcode())
+    );
+  }
+
+}
diff --git a/src/main/java/org/folio/circulation/resources/foruseatlocation/PickupByBarcodeRequest.java b/src/main/java/org/folio/circulation/resources/foruseatlocation/PickupByBarcodeRequest.java
new file mode 100644
index 0000000000..0666a72cb4
--- /dev/null
+++ b/src/main/java/org/folio/circulation/resources/foruseatlocation/PickupByBarcodeRequest.java
@@ -0,0 +1,40 @@
+package org.folio.circulation.resources.foruseatlocation;
+
+import io.vertx.core.json.JsonObject;
+import lombok.AllArgsConstructor;
+import lombok.Getter;
+import org.folio.circulation.support.results.Result;
+
+import static org.apache.commons.lang3.StringUtils.isBlank;
+import static org.folio.circulation.support.ValidationErrorFailure.failedValidation;
+import static org.folio.circulation.support.json.JsonPropertyFetcher.getProperty;
+import static org.folio.circulation.support.results.Result.succeeded;
+
+@Getter
+@AllArgsConstructor
+public class PickupByBarcodeRequest {
+  private static final String ITEM_BARCODE = "itemBarcode";
+  private static final String USER_BARCODE = "userBarcode";
+
+  private final String itemBarcode;
+  private final String userBarcode;
+
+  static Result<PickupByBarcodeRequest> buildRequestFrom(JsonObject json) {
+    final String itemBarcode = getProperty(json, ITEM_BARCODE);
+
+    if (isBlank(itemBarcode)) {
+      return failedValidation("Request to pick up from hold shelf must have an item barcode",
+        ITEM_BARCODE, null);
+    }
+
+    final String userBarcode = getProperty(json, USER_BARCODE);
+
+    if (isBlank(userBarcode)) {
+      return failedValidation("Request to pick up from hold shelf must have a user barcode",
+        USER_BARCODE, null);
+    }
+
+    return succeeded(new PickupByBarcodeRequest(itemBarcode, userBarcode));
+  }
+}
+
diff --git a/src/main/java/org/folio/circulation/services/EventPublisher.java b/src/main/java/org/folio/circulation/services/EventPublisher.java
index 3a34524b04..e1060e58a2 100644
--- a/src/main/java/org/folio/circulation/services/EventPublisher.java
+++ b/src/main/java/org/folio/circulation/services/EventPublisher.java
@@ -377,6 +377,11 @@ public CompletableFuture<Result<Void>> publishNoticeLogEvent(NoticeLogContext no
     return publishLogRecord(noticeLogContext.withDate(getZonedDateTime()).asJson(), eventType);
   }
 
+  public CompletableFuture<Result<Loan>> publishUsageAtLocationEvent(Loan loan, LogEventType eventType) {
+    return publishLogRecord((LoanLogContext.from(loan)).asJson(), eventType)
+      .thenApply(r -> succeeded(loan));
+  }
+
   public CompletableFuture<Result<Void>> publishNoticeErrorLogEvent(
     NoticeLogContext noticeLogContext, HttpFailure error) {
 
diff --git a/src/main/java/org/folio/circulation/storage/SingleOpenLoanByUserAndItemBarcodeFinder.java b/src/main/java/org/folio/circulation/storage/SingleOpenLoanByUserAndItemBarcodeFinder.java
index c2792a1779..8837693ff5 100644
--- a/src/main/java/org/folio/circulation/storage/SingleOpenLoanByUserAndItemBarcodeFinder.java
+++ b/src/main/java/org/folio/circulation/storage/SingleOpenLoanByUserAndItemBarcodeFinder.java
@@ -49,7 +49,6 @@ public CompletableFuture<Result<Loan>> findLoan(
 
   private Function<Loan, CompletableFuture<Result<Loan>>> refuseWhenUserDoesNotMatch(
     String userBarcode) {
-
     return loan -> refuseWhenUserDoesNotMatch(loan, userBarcode);
   }
 
diff --git a/src/test/java/api/loans/LoansForUseAtLocationTests.java b/src/test/java/api/loans/LoansForUseAtLocationTests.java
new file mode 100644
index 0000000000..8b495b2db1
--- /dev/null
+++ b/src/test/java/api/loans/LoansForUseAtLocationTests.java
@@ -0,0 +1,242 @@
+package api.loans;
+
+import api.support.APITests;
+import api.support.builders.*;
+import api.support.http.IndividualResource;
+import api.support.http.ItemResource;
+import api.support.http.UserResource;
+import io.vertx.core.json.JsonObject;
+import org.folio.circulation.domain.policy.Period;
+import org.folio.circulation.support.http.client.Response;
+import org.hamcrest.core.Is;
+import org.junit.jupiter.api.BeforeEach;
+import org.junit.jupiter.api.Test;
+
+import java.util.Collections;
+import java.util.UUID;
+
+import static api.support.fixtures.ItemExamples.basedUponSmallAngryPlanet;
+import static org.hamcrest.CoreMatchers.notNullValue;
+import static org.hamcrest.MatcherAssert.assertThat;
+
+public class LoansForUseAtLocationTests extends APITests {
+  private ItemResource item;
+  private UserResource borrower;
+
+  @BeforeEach
+  void beforeEach() {
+
+    HoldingBuilder holdingsBuilder = itemsFixture.applyCallNumberHoldings(
+      "CN",
+      "Prefix",
+      "Suffix",
+      Collections.singletonList("CopyNumbers"));
+
+    final UUID servicePointId = servicePointsFixture.cd1().getId();
+
+    final IndividualResource homeLocation = locationsFixture.basedUponExampleLocation(
+      item -> item.withPrimaryServicePoint(servicePointId));
+
+    ItemBuilder itemBuilder = basedUponSmallAngryPlanet(
+      materialTypesFixture.book().getId(),
+      loanTypesFixture.canCirculate().getId())
+      .withPermanentLocation(homeLocation);
+
+    item = itemsFixture.basedUponSmallAngryPlanet(itemBuilder, holdingsBuilder);
+
+    borrower = usersFixture.steve();
+  }
+
+  @Test
+  void willSetAtLocationUsageStatusToInUseOnCheckout() {
+    final LoanPolicyBuilder forUseAtLocationPolicyBuilder = new LoanPolicyBuilder()
+      .withName("Reading room loans")
+      .withDescription("Policy for items to be used at location")
+      .rolling(Period.days(30))
+      .withForUseAtLocation(true);
+
+    use(forUseAtLocationPolicyBuilder);
+
+    final IndividualResource response = checkOutFixture.checkOutByBarcode(
+      new CheckOutByBarcodeRequestBuilder()
+        .forItem(item)
+        .to(borrower)
+        .at(servicePointsFixture.cd1()));
+
+    JsonObject loan = loansFixture.getLoanById(response.getId()).getJson();
+    JsonObject forUseAtLocation = loan.getJsonObject("forUseAtLocation");
+    assertThat("loan.forUseAtLocation",
+      forUseAtLocation, notNullValue());
+    assertThat("loan.forUseAtLocation.status",
+      forUseAtLocation.getString("status"), Is.is("In use"));
+  }
+
+  @Test
+  void willMarkItemHeldByBarcode() {
+    final LoanPolicyBuilder forUseAtLocationPolicyBuilder = new LoanPolicyBuilder()
+      .withName("Reading room loans")
+      .withDescription("Policy for items to be used at location")
+      .rolling(Period.days(30))
+      .withForUseAtLocation(true);
+
+    use(forUseAtLocationPolicyBuilder);
+
+    checkOutFixture.checkOutByBarcode(
+      new CheckOutByBarcodeRequestBuilder()
+        .forItem(item)
+        .to(borrower)
+        .at(servicePointsFixture.cd1()));
+
+    Response holdResponse = holdForUseAtLocationFixture.holdForUseAtLocation(
+      new HoldByBarcodeRequestBuilder(item.getBarcode()));
+
+    JsonObject forUseAtLocation = holdResponse.getJson().getJsonObject("forUseAtLocation");
+    assertThat("loan.forUseAtLocation",
+      forUseAtLocation, notNullValue());
+    assertThat("loan.forUseAtLocation.status",
+      forUseAtLocation.getString("status"), Is.is("Held"));
+  }
+
+  @Test
+  void holdWillFailWithDifferentItem() {
+    final LoanPolicyBuilder forUseAtLocationPolicyBuilder = new LoanPolicyBuilder()
+      .withName("Reading room loans")
+      .withDescription("Policy for items to be used at location")
+      .rolling(Period.days(30))
+      .withForUseAtLocation(true);
+
+    use(forUseAtLocationPolicyBuilder);
+
+    checkOutFixture.checkOutByBarcode(
+      new CheckOutByBarcodeRequestBuilder()
+        .forItem(item)
+        .to(borrower)
+        .at(servicePointsFixture.cd1()));
+
+    holdForUseAtLocationFixture.holdForUseAtLocation(
+      new HoldByBarcodeRequestBuilder("different-item"), 400);
+  }
+
+  @Test
+  void holdWillFailWithIncompleteRequest() {
+    final LoanPolicyBuilder forUseAtLocationPolicyBuilder = new LoanPolicyBuilder()
+      .withName("Reading room loans")
+      .withDescription("Policy for items to be used at location")
+      .rolling(Period.days(30))
+      .withForUseAtLocation(true);
+
+    use(forUseAtLocationPolicyBuilder);
+
+    checkOutFixture.checkOutByBarcode(
+      new CheckOutByBarcodeRequestBuilder()
+        .forItem(item)
+        .to(borrower)
+        .at(servicePointsFixture.cd1()));
+
+    holdForUseAtLocationFixture.holdForUseAtLocation(
+      new HoldByBarcodeRequestBuilder(null), 422);
+  }
+
+
+  @Test
+  void willMarkItemInUseByBarcode() {
+    final LoanPolicyBuilder forUseAtLocationPolicyBuilder = new LoanPolicyBuilder()
+      .withName("Reading room loans")
+      .withDescription("Policy for items to be used at location")
+      .rolling(Period.days(30))
+      .withForUseAtLocation(true);
+
+    use(forUseAtLocationPolicyBuilder);
+
+    checkOutFixture.checkOutByBarcode(
+      new CheckOutByBarcodeRequestBuilder()
+        .forItem(item)
+        .to(borrower)
+        .at(servicePointsFixture.cd1()));
+
+    Response pickupResponse = pickupForUseAtLocationFixture.pickupForUseAtLocation(
+      new PickupByBarcodeRequestBuilder(item.getBarcode(), borrower.getBarcode()));
+
+    JsonObject forUseAtLocation = pickupResponse.getJson().getJsonObject("forUseAtLocation");
+    assertThat("loan.forUseAtLocation",
+      forUseAtLocation, notNullValue());
+    assertThat("loan.forUseAtLocation.status",
+      forUseAtLocation.getString("status"), Is.is("In use"));
+  }
+
+  @Test
+  void pickupWillFailWithDifferentItemOrDifferentUser() {
+    final LoanPolicyBuilder forUseAtLocationPolicyBuilder = new LoanPolicyBuilder()
+      .withName("Reading room loans")
+      .withDescription("Policy for items to be used at location")
+      .rolling(Period.days(30))
+      .withForUseAtLocation(true);
+
+    use(forUseAtLocationPolicyBuilder);
+
+    checkOutFixture.checkOutByBarcode(
+      new CheckOutByBarcodeRequestBuilder()
+        .forItem(item)
+        .to(borrower)
+        .at(servicePointsFixture.cd1()));
+
+    pickupForUseAtLocationFixture.pickupForUseAtLocation(
+      new PickupByBarcodeRequestBuilder("different-item", borrower.getBarcode()), 400);
+
+    pickupForUseAtLocationFixture.pickupForUseAtLocation(
+      new PickupByBarcodeRequestBuilder(item.getBarcode(), "different-user"), 400);
+
+  }
+
+  @Test
+  void pickupWillFailWithIncompleteRequestObject() {
+    final LoanPolicyBuilder forUseAtLocationPolicyBuilder = new LoanPolicyBuilder()
+      .withName("Reading room loans")
+      .withDescription("Policy for items to be used at location")
+      .rolling(Period.days(30))
+      .withForUseAtLocation(true);
+
+    use(forUseAtLocationPolicyBuilder);
+
+    checkOutFixture.checkOutByBarcode(
+      new CheckOutByBarcodeRequestBuilder()
+        .forItem(item)
+        .to(borrower)
+        .at(servicePointsFixture.cd1()));
+
+    pickupForUseAtLocationFixture.pickupForUseAtLocation(
+      new PickupByBarcodeRequestBuilder(null, borrower.getBarcode()), 422);
+
+    pickupForUseAtLocationFixture.pickupForUseAtLocation(
+      new PickupByBarcodeRequestBuilder(item.getBarcode(), null), 422);
+  }
+
+  @Test
+  void willSetAtLocationUsageStatusToReturnedOnCheckIn() {
+    final LoanPolicyBuilder forUseAtLocationPolicyBuilder = new LoanPolicyBuilder()
+      .withName("Reading room loans")
+      .withDescription("Policy for items to be used at location")
+      .rolling(Period.days(30))
+      .withForUseAtLocation(true);
+
+    use(forUseAtLocationPolicyBuilder);
+
+    checkOutFixture.checkOutByBarcode(
+      new CheckOutByBarcodeRequestBuilder()
+        .forItem(item)
+        .to(borrower)
+        .at(servicePointsFixture.cd1()));
+
+    final IndividualResource response = checkInFixture.checkInByBarcode(item);
+
+    JsonObject loan = loansFixture.getLoanById(
+      UUID.fromString(response.getJson().getJsonObject("loan").getString("id")))
+      .getJson();
+    JsonObject forUseAtLocation = loan.getJsonObject("forUseAtLocation");
+    assertThat("loan.forUseAtLocation",
+      forUseAtLocation, notNullValue());
+    assertThat("loan.forUseAtLocation.status",
+      forUseAtLocation.getString("status"), Is.is("Returned"));
+  }
+
+}
diff --git a/src/test/java/api/support/APITests.java b/src/test/java/api/support/APITests.java
index cb85e1196d..10883816fe 100644
--- a/src/test/java/api/support/APITests.java
+++ b/src/test/java/api/support/APITests.java
@@ -58,6 +58,8 @@
 import api.support.fixtures.FeeFineAccountFixture;
 import api.support.fixtures.FeeFineOwnerFixture;
 import api.support.fixtures.FeeFineTypeFixture;
+import api.support.fixtures.ForUseAtLocationHoldFixture;
+import api.support.fixtures.ForUseAtLocationPickupFixture;
 import api.support.fixtures.HoldingsFixture;
 import api.support.fixtures.IdentifierTypesFixture;
 import api.support.fixtures.InstancesFixture;
@@ -309,6 +311,9 @@ public abstract class APITests {
   protected final ConfigurationsFixture configurationsFixture = new ConfigurationsFixture(configClient);
   protected final SearchInstanceFixture searchFixture = new SearchInstanceFixture();
 
+  protected final ForUseAtLocationHoldFixture holdForUseAtLocationFixture = new ForUseAtLocationHoldFixture();
+  protected final ForUseAtLocationPickupFixture pickupForUseAtLocationFixture = new ForUseAtLocationPickupFixture();
+
   protected APITests() {
     this(true, false);
   }
diff --git a/src/test/java/api/support/builders/HoldByBarcodeRequestBuilder.java b/src/test/java/api/support/builders/HoldByBarcodeRequestBuilder.java
new file mode 100644
index 0000000000..3e72fdd98d
--- /dev/null
+++ b/src/test/java/api/support/builders/HoldByBarcodeRequestBuilder.java
@@ -0,0 +1,19 @@
+package api.support.builders;
+
+import io.vertx.core.json.JsonObject;
+
+public class HoldByBarcodeRequestBuilder extends JsonBuilder implements Builder {
+  private final String itemBarcode;
+
+  public HoldByBarcodeRequestBuilder(String itemBarcode) {
+    this.itemBarcode = itemBarcode;
+  }
+  @Override
+  public JsonObject create() {
+    final JsonObject request = new JsonObject();
+
+    put(request, "itemBarcode", this.itemBarcode);
+    return request;
+  }
+}
+
diff --git a/src/test/java/api/support/builders/LoanPolicyBuilder.java b/src/test/java/api/support/builders/LoanPolicyBuilder.java
index 7fb031582a..0eb352ad87 100644
--- a/src/test/java/api/support/builders/LoanPolicyBuilder.java
+++ b/src/test/java/api/support/builders/LoanPolicyBuilder.java
@@ -40,6 +40,7 @@ public class LoanPolicyBuilder extends JsonBuilder implements Builder {
   private final Period alternateCheckoutLoanPeriod;
   private final Integer itemLimit;
   private final Period gracePeriod;
+  private final boolean forUseAtLocation;
 
   public LoanPolicyBuilder() {
     this(UUID.randomUUID(),
@@ -65,7 +66,8 @@ public LoanPolicyBuilder() {
       null,
       null,
       null,
-      null
+      null,
+      false
     );
   }
 
@@ -88,6 +90,7 @@ public JsonObject create() {
       put(loansPolicy, "profileId", loansProfile);
       put(loansPolicy, "itemLimit", itemLimit);
       putIfNotNull(loansPolicy, "gracePeriod", gracePeriod, Period::asJson);
+      put(loansPolicy, "forUseAtLocation", forUseAtLocation);
 
       //TODO: Replace with sub-builders
       if(Objects.equals(loansProfile, "Rolling")) {
@@ -289,4 +292,5 @@ public LoanPolicyBuilder withHolds(Period checkoutPeriod,
 
     return withHolds(json);
   }
+
 }
diff --git a/src/test/java/api/support/builders/PickupByBarcodeRequestBuilder.java b/src/test/java/api/support/builders/PickupByBarcodeRequestBuilder.java
new file mode 100644
index 0000000000..bbaaa23c08
--- /dev/null
+++ b/src/test/java/api/support/builders/PickupByBarcodeRequestBuilder.java
@@ -0,0 +1,23 @@
+package api.support.builders;
+
+import io.vertx.core.json.JsonObject;
+
+public class PickupByBarcodeRequestBuilder extends JsonBuilder implements Builder {
+  private final String itemBarcode;
+  private final String userBarcode;
+
+  public PickupByBarcodeRequestBuilder(
+    String itemBarcode,
+    String userBarcode) {
+    this.itemBarcode = itemBarcode;
+    this.userBarcode = userBarcode;
+  }
+  @Override
+  public JsonObject create() {
+    final JsonObject request = new JsonObject();
+
+    put(request, "itemBarcode", this.itemBarcode);
+    put(request, "userBarcode", this.userBarcode);
+    return request;
+  }
+}
diff --git a/src/test/java/api/support/fixtures/ForUseAtLocationHoldFixture.java b/src/test/java/api/support/fixtures/ForUseAtLocationHoldFixture.java
new file mode 100644
index 0000000000..bc0d31112a
--- /dev/null
+++ b/src/test/java/api/support/fixtures/ForUseAtLocationHoldFixture.java
@@ -0,0 +1,27 @@
+package api.support.fixtures;
+
+import api.support.RestAssuredClient;
+import api.support.builders.HoldByBarcodeRequestBuilder;
+import org.folio.circulation.support.http.client.Response;
+
+import static api.support.APITestContext.getOkapiHeadersFromContext;
+import static api.support.http.InterfaceUrls.holdForUseAtLocationUrl;
+
+public class ForUseAtLocationHoldFixture {
+  private final RestAssuredClient restAssuredClient;
+
+  public ForUseAtLocationHoldFixture() {
+    restAssuredClient = new RestAssuredClient(getOkapiHeadersFromContext());
+  }
+
+  public Response holdForUseAtLocation(HoldByBarcodeRequestBuilder builder) {
+    return restAssuredClient.post(builder.create(), holdForUseAtLocationUrl(), 200,
+      "hold-for-use-at-location-by-barcode-request");
+  }
+
+  public void holdForUseAtLocation(HoldByBarcodeRequestBuilder builder, int expectedStatusCode) {
+    restAssuredClient.post(builder.create(), holdForUseAtLocationUrl(), expectedStatusCode,
+      "hold-for-use-at-location-by-barcode-request");
+  }
+
+}
diff --git a/src/test/java/api/support/fixtures/ForUseAtLocationPickupFixture.java b/src/test/java/api/support/fixtures/ForUseAtLocationPickupFixture.java
new file mode 100644
index 0000000000..2fc5a504b3
--- /dev/null
+++ b/src/test/java/api/support/fixtures/ForUseAtLocationPickupFixture.java
@@ -0,0 +1,27 @@
+package api.support.fixtures;
+
+import api.support.RestAssuredClient;
+import api.support.builders.PickupByBarcodeRequestBuilder;
+import org.folio.circulation.support.http.client.Response;
+
+import static api.support.APITestContext.getOkapiHeadersFromContext;
+import static api.support.http.InterfaceUrls.pickupForUseAtLocationUrl;
+
+public class ForUseAtLocationPickupFixture {
+  private final RestAssuredClient restAssuredClient;
+
+  public ForUseAtLocationPickupFixture() {
+    restAssuredClient = new RestAssuredClient(getOkapiHeadersFromContext());
+  }
+
+  public Response pickupForUseAtLocation(PickupByBarcodeRequestBuilder builder) {
+    return restAssuredClient.post(builder.create(), pickupForUseAtLocationUrl(), 200,
+      "pickup-for-use-at-location-by-barcode-request");
+  }
+
+  public void pickupForUseAtLocation(PickupByBarcodeRequestBuilder builder, int expectedStatusCode) {
+    restAssuredClient.post(builder.create(), pickupForUseAtLocationUrl(), expectedStatusCode,
+      "pickup-for-use-at-location-by-barcode-request");
+  }
+
+}
diff --git a/src/test/java/api/support/http/InterfaceUrls.java b/src/test/java/api/support/http/InterfaceUrls.java
index 2b4560793e..5abfcb039f 100644
--- a/src/test/java/api/support/http/InterfaceUrls.java
+++ b/src/test/java/api/support/http/InterfaceUrls.java
@@ -162,6 +162,14 @@ public static URL renewByIdUrl() {
     return circulationModuleUrl("/circulation/renew-by-id");
   }
 
+  public static URL holdForUseAtLocationUrl() {
+    return circulationModuleUrl("/circulation/hold-by-barcode-for-use-at-location");
+  }
+
+  public static URL pickupForUseAtLocationUrl() {
+    return circulationModuleUrl("/circulation/pickup-by-barcode-for-use-at-location");
+  }
+
   public static URL loansUrl() {
     return loansUrl("");
   }
diff --git a/src/test/resources/storage-loan-7-3.json b/src/test/resources/storage-loan-7-3.json
index 136137f8af..5d419de379 100644
--- a/src/test/resources/storage-loan-7-3.json
+++ b/src/test/resources/storage-loan-7-3.json
@@ -37,6 +37,26 @@
       },
       "additionalProperties": false
     },
+    "forUseAtLocation": {
+      "description": "Status of loan/item that is to be used in the library",
+      "type": "object",
+      "properties": {
+        "status": {
+          "description": "Indicates if the item is currently used by or being held for the patron",
+          "type": "string",
+          "enum": [
+            "In use",
+            "Held",
+            "Returned"
+          ]
+        },
+        "statusDate": {
+          "description": "Date and time the status was registered",
+          "type": "string",
+          "format": "date-time"
+        }
+      }
+    },
     "loanDate": {
       "description": "Date time when the loan began (typically represented according to rfc3339 section-5.6. Has not had the date-time format validation applied as was not supported at point of introduction and would now be a breaking change)",
       "type": "string"