LEASEHOLD SERVICES

Leasehold law empowers groups of tenants of flats to compel their landlord to sell the freehold interest and also allows individual flat owners to acquire a 90 year lease extension. We act for groups of leaseholders and Landlords in these specialist areas of law.

We can assist you if you are flat owner:-

-seeking to extend your flat’s lease
-seeking to buy out the freeholder with your fellow leaseholders
-dissatisfied with the existing building management arrangements
-in dispute with your landlord

We can assist you if you are a freeholder and require expert representation in respect of a claim brought by your leaseholders, or if you simply require general advice.

We provide a free 10 minute telephone consultation service.

For further information on how we can assist you, please contact Ian Mitchell on 020 7940 4055 or click here to email him directly.

Your Questions Answered

Why should I extend my lease?

With a short lease your flat may depreciate in value. As the number of years on the lease continues to decline, the depreciation gathers momentum. The only practical way of preserving the full value of your flat is by acquiring a longer lease. If you have a short lease and are considering selling your flat, you may encounter difficulties in realising what you think is its full value.

Existing law gives most leaseholders the right to a new lease for a term of 90 years, plus the remaining years on your old lease. For example, if you have 78 years remaining on your lease the law entitles you to a new lease for a term of 168 years. In most cases, your new lease should contain the same terms as your old lease but any ground rent currently paid under your old lease is abolished.

Who qualifies for an extension?

In order to qualify you must own a long lease (a lease that when originally granted was for a term exceeding 21 years) and have owned your flat for 2 or more years.

How do I start my claim?

We will serve a notice on your landlord, informing him that you wish to exercise your legal right to extend your lease, and advise him of the price you propose to pay for the new lease.

How do I know how much to offer my landlord?

Although you are not legally required to obtain a formal valuation, we strongly advise you to obtain a valuation from a surveyor who will inform you of the premium you should offer your landlord. The longer the lease has to run the less you will pay for the lease extension. Leases with less than 80 years to run will attract an additional payment called marriage value.

How long will it take?

If the landlord is responsive and there are no prolonged negotiations or applications before the Leasehold Valuation Tribunal or the County Court, then the procedure may be completed within 8 months. On average, however, a more realistic timescale is a year.

How much will it cost?

It is not possible to quantify how much it will cost to buy a lease extension at the initial stage in the process. As well as the premium payable to the freeholder you will have to pay:

• your surveyor's fees
• your legal fees
• your landlord's reasonable legal and valuation costs

The premium you pay for a lease extension is either the price you agree with your landlord or, if you cannot agree, the price determined by the Leasehold Valuation Tribunal (LVT).

What happens if I cannot find or identify the landlord?

This should not be an obstacle to your right to a lease extension. If the landlord cannot be found or identified your solicitor will make an application to the County Court for an order granting you a lease extension. The premium is decided by the LVT and must be paid into Court.

I want to sell my flat. Should I complete the lease extension process before I put my flat on the market?

Not necessarily. Provided you have owned your flat for 2 years you can serve the notice on the landlord and then assign the benefit of the notice to your buyer. This way, your buyer will step into your shoes and continue with the process without having to wait until they have owned the flat for 2 years.