Lease Extensions

MikeTibbatts.co.uk > Home Owners > Lease Extensions

FLATS:

If you are a flat owner (that is, a leaseholder) you have the right, under legislation, to acquire a 90 year extension to your existing lease and have all your ground rents reduced to zero.

To qualify for this right:

• you must have owned the leasehold on your flat for at least two years;
• your original lease term must be more than 21 years.

However, you do not have to be resident in the flat to apply for a lease extension.

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HOUSES:

The valuation of houses for the purposes of leasehold extension (or leasehold enfranchisement) is complicated. Each case must be carefully judged and we always strongly recommend that you also instruct a solicitor.

For further information, or for detailed advise, please call 020 8947 7040 or email us at mike@miketibbatts.co.uk.

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Procedure:

Leaseholders - you should instruct a Surveyor to produce a valuation of the premium for the lease extension. Your solicitor will then serve a formal Notice (under Section 42 of the Act) on the Freeholder(s). This informs the Freeholder you have started the legal process to acquire a lease extension.

Freeholders - once you have been served with a formal Section 42 Notice, you must respond with a formal Counter Notice within two months of the date of the original Notice.

It is important to note that once a Section 42 Notice is served, the leaseholder is liable for the Freeholder's reasonable costs from the date he received the Notice.

The Leasehold Advisory Service website provides much more information on lease extensions and the legal requirements of both the Leaseholder and the Freeholder.

As experts in this field, Tibbatts & Co are regularly instructed (by either side) to conduct negotiations and assist you with:

• Valuations of premium for lease extension
• Dispute resolution
• Representation at the Lease Valuation Tribunal should this be necessary

If you would wish to discuss lease extensions or freehold acquisitions in greater detail, please call Mike Tibbatts on 020 8947 7040 or email at mike@miketibbatts.co.uk.