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The Annual Conference of the Leasehold Advisory Service will take place on 21st May 2013. This year the event takes on a new, exciting format and aims to cater specifically for the range of professional interests across the leasehold sector, including lawyers, property managers and valuers. There will be several high profile keynote presentations including one from Keith Hill, Independent Regulator for the Association of Residential Managing Agents' (ARMA) new consumer-focused self-regulatory regime, ‘ARM

THE LEASEHOLD FORUM  held its London annual conference in November 2012 aimed at enfranchisement valuers, and supported by ALEP and News on the Block.  The theme for the conference was Advising the Client. Delegates at the sold-out event heard about the procedural issues in bringing an appeal to the Upper Tribunal or Court of Appeal, were given an understanding of the market implications and consequences of enfranchisement or lease extensions, as well as an update on significant case law developments.  Ch

For professionals advising regularly in this technical area of law, the lease extension process may seem straightforward. However, the legislation is littered with onerous deadlines, some of which can have very serious consequences if missed. Here is a list of the top ten dates not to stumble on… 2 YEAR OWNERSHIP Before a claim can be initiated, a tenant must have accrued the requisite 2 year ownership period. This is taken from the date of registration at the Land Registry. DON’T FORGET THE 8

The Leasehold Reform Housing and Urban Development Act 1993 (“the 93 Act”) introduced not only the right of collective enfranchisement, but also of an individual lease extension in relation to individual flats. The right of a lessee to extend their lease was conceived by Parliament to be exercised by lessees where they were unable for some reason to collectively enfranchise. Having said that, it is possible to claim a lease extension, and then to join in a subsequent collective enfranchisement. As origi

In enfranchisement, development value can arise in three situations. It is important to determine which paragraph of Schedule 6, Leasehold Reform Housing and Urban Development Act 1993, applies as this will affect how development value is calculated - if payable at all. 1. VALUE ATTACHING TO THE FREEHOLD INTEREST ALONE – PARAGRAPH 3 The classic case is where the freeholder has reserved to himself a flat roof and the right to develop. There might be other obstacles to development but the landlord can carr

The comparable method of valuation is an established tool in the valuer’s armoury to reach opinion of market value. Here we examine how the Upper Tribunal (UT) applies the “comparable transaction” method to meet specific requirements in leasehold reform. ANALYSIS OF COMPARABLE SALES ‘…A comparable can be broadly defined as an item used during the valuation process as evidence in support of the valuation of a different item of the same general type…’ RICS information paper ‘Comparable evidence in property

The right to manage divides opinion. C&LRA 2002 provides that any agreements purporting to exclude or modify the right will be void. Arrangements can be created so the required qualifying conditions are not met and, if not a sham, successful avoidance is possible. Building The premises must either be a self-contained building or part of a building. At development, it may be possible to construct a building which falls outside the scope of the Act; for example, by ensuring the block is connected to (i.e.

Development value is often raised in a collective freehold purchase, causing confusion, muddled thinking and unnecessary references to Tribunal. As with all valuations the amount depends on how a potential purchaser looks at the opportunity; what is it and is it physically possible? How long will it take and how much will it cost? Is there planning permission or is it likely? What are the risks? How much do I need to set aside for this? Schedule 6 of the 1993 Act tells us how to deal with this. Paragraph

In April 2012, the Leasehold Valuation Tribunal gave judgment in the 1967 Act case of 23 Pont Street, London*. Although a house for enfranchisement purposes, the property was divided into seven flats, including one occupied by the leaseholder and another by a housekeeper. The other flats were let on rack-rent tenancies. The lease was unusual. When granted in 1978, with a starting rent of £2,000 per annum, five-yearly reviews were imposed by reference to 2% of the freehold value of the property at the re

A greater focus on leaseholders, ongoing issues with service charge recovery and an open-armed welcome for regulation are the key findings in the latest independent survey of the property management industry. In conjunction with News on the Block, property management specialists Brady Solicitors commissioned independent market researchers to undertake an in-depth industry survey. 109 property managers took part during November 2012 and Brady Solicitors’ MD Clare Brady shares with you some of the resea

The “Hosebay” appeals, brought by two central London Landed Estates, were challenging a Court of Appeal decision that a property used wholly for commercial purposes could qualify as a “house” under the Leasehold Reform Act 1967 (“the Act”). The Supreme Court unanimously allowed both appeals. To satisfy the test of whether a building is a “house” under Section 2(1) of the Act, the building must be “designed or adapted for living in” and “a house reasonably so called”. The judgement stated both parts are

Not to generalise, but enfranchisement can broadly be divided into three groups.  There are those who extend their lease.  There are those who purchase the freehold of their house.   And there are those who, collectively with their neighbours, purchase the freehold to the block within which they own a flat.  There is surprisingly, an ever emerging fourth category.  These are the flat owners who do nothing but sit on their ever diminishing asset.  The expression ‘resting on one’s laurels’ could be said to