Would the Right to Manage suit you?
Do you have a long lease, i.e. a lease with a term of over 21 years? If so, you are a long leaseholder.
If you are a long leaseholder, would you like the opportunity to manage your block with your fellow leaseholders?
Under Section 71 of the Commonhold Leasehold and Reform Act 2002 (‘the Act’) long lease owners have a collective right to take over the management of their block. This is provided that: –
- there are at least two flats in the building on long leases;
- no more than 25% of the building is non-residential; and,
- at least half of the flats join in (if there are only two flats, both must join in).
It is important to note that this is a “no fault” right. Leaseholders can therefore look to exercise their right to manage their block without the landlord, or the agents of the landlord, doing anything wrong.
There is a certain procedure to be followed under the Act which includes: –
- forming a Right to Manage Company;
- inviting the leaseholders to participate;
- serving a claim notice; and,
- acquiring the management (on the basis that all of the above have been done correctly).
If the leaseholders do not follow this procedure correctly, it could result in unnecessary delays in taking over the management and potentially paying the landlord’s costs for challenging the validity of their notice – something which can easily be avoided if the procedure is followed correctly in the first instance.
If you are a leaseholder who would like to explore this option more with your fellow leaseholders, or perhaps you are a landlord who has received a notice from the leaseholders and are unsure whether they have taken the correct course of action, then get in touch with Dani Green on 020 7288 4751 or email@example.com