The provisions of both the Landlord and Tenant Act 1987 and the Leasehold Reform Housing and Urban Development Act 1993 allow applications to be made to the County Court for the freehold interest. The County Court must be satisfied that a comprehensive search has been made to trace the landlord before it will make an Order.
Your surveyor would establish the appropriate premium payable under both the 1993 and 1987 Acts.
The procedure prescribed by the Leasehold Reform, Housing and Urban Development Act 1993
A majority of the flat owners in the building must apply to the County Court. You apply for dispensation from having to serve notice on the freeholder to acquire the interest.
An application is then made to the Leasehold Valuation Tribunal for the premium to be determined. This application would be supported by a professional valuation of a chartered surveyor.
The appropriate premium is placed on account with the Court Funds Office. The final stage of the process would require a further application to the Court to effect transfer of the ownership to you.
The procedure prescribed by the Landlord and Tenant Act 1987
Where the leases of the flats in your building provide for the landlord to effect maintenance, repairs and/or insurance, a landlord who is missing will almost certainly be in breach of one of these lease obligations. If this is the case then you may be able to seek a compulsory acquisition order under Part 3 of the Landlord and Tenant Act 1987. The procedure similarly involves making an application to the County Court.
An Application is then made to the Lands Tribunal for a panel surveyor to determine the appropriate premium. This sum is paid into the Courts Fund Office and application made to the County Court to transfer the ownership.
The County Court has a general discretion to award legal costs incurred in connection with proceedings. You may be able to offset a large part of your legal costs against the freehold premium if you acquire the interest in this way.
For further information on how we can assist you, please email Ian Mitchell or call him directly on 020 7940 4055.
