Right to Manage
The Right to Manage enables you to take control management of your block away from your landlord, without having to prove their incompetence, according to the 2002 Commonhold and Leasehold Reform Act. In order to undergo the Right to Manage, you'll have to get the support of 50% of your fellow homeowners, and ensure your block qualifies under the legislated criteria.
Taking control with the Right to Manage is generally a less expensive option than enfranchisement as you're not required to purchase the freehold. We can guide you through the steps from day one, ensuring the process runs smoothly, and giving you advice on your block management options once you've taken control.
We'll ease your block through every step of the Right to Manage process - from making sure that your block qualifies and creating a limited Right to Manage company, to serving notices to your landlord and informing the homeowners of their responsibilities upon takeover.
We charge a flat rate fee of
£30 + VAT per unit for administering the entire Right to Manage process from beginning to end, with a minimum fee of £400 + VAT per block.
Enfranchisement is the process of buying the freehold of your block from your landlord. Although more expensive than acquiring the Right to Manage, enfranchisement is beneficial in that it eliminates ground rent payments and potentially increases the value of your property.
As with the Right to Manage, if the qualification criteria are met, the landlord has no choice but to sell the freehold. From here there are legal steps to follow in order to agree a price for the freehold. Ultimately a company is created that owns the freehold, with the homeowners as shareholders and therefore in control of their block management.
As previously mentioned, the process you have to follow is dictated by law, and you will need to employ a surveyor in order to value the freehold and to help you to determine the offer you make to your landlord. You will also have to employ a solicitor to undertake all of the legal work.
Since there are usually large sums of money involved in the process, it may be beneficial to get professional assistance in bringing you and your fellow homeowners in the block together, agreeing the actions that will follow and in helping to determine the extent of the work and funding required.
We can manage the process on your behalf from day one to ensure that you follow the legislated steps correctly, and as with the Right to Manage, advise you on your block management options on the completion of your enfranchisement.
£75 + VAT per unit (with a minimum charge of £750 + VAT for any block) to administer the enfranchisement process. This includes our cost of creating a residents' management company for your block.