Safeguarding your Leasehold
Leasehold property differs greatly from freehold. How? It revolves around ownership. Whilst freeholders retain title for all time, with Leasehold you own the property for the Duration of the Lease – after which the freeholder resumes possession.
Good leasehold agreements have substantial protection for the holders, with further rights enshrined in law. Leasehold is nothing to fear, providing you take proper legal advice from solicitors such as Capstick Dale; our leasehold expertise will safeguard your interests.
There are three issues to keep under review (for both parties, i.e. the leaseholder and the property owner). We Act for either Party:
- Lease Extensions: the resident keeps the property longer, and maintain the resale value of their lease. Otherwise, as a lease gets short, it rapidly loses worth.
- Right to Manage: leased property is “managed” by the freeholder, or more likely a “management company” on their behalf. Tenants now have a right to form their own management company, taking it on themselves.
- Leasehold Enfranchisement: is a further right, where tenants collectively buy the freehold of their building, leaving them in full charge of the property.
The outstanding Length of Lease is a prime concern. As time left shrinks, so does the asset value (i.e. how much it can be sold for). Most tenants have the right to extend for an extra 90 years, significantly increasing value. Just ask Capstick Dale about your Lease Extension.
Leaseholders may be unhappy with management of the property, or management fees may be excessive. Even if everything is fine, tenants may still wish to manage their own building. Capstick Dale can advise on your Right to Manage, introduced in 2002.
Leasehold or Collective Enfranchisement is a legal right for leaseholders to collectively purchase freehold of the building; giving tenants complete control of both their lease and the building itself. Capstick Dale bring their considerable experience to such matters.