What is the Right to Manage?
If you own a flat, the Commonhold and Leasehold Reform Act 2002 gives you the right to force your freeholder to hand over to you the right to manage your block of flats, subject to certain criteria being met. You do not have to prove that your freeholder manages your block badly or prove a breach of their obligations and do not have to pay your freeholder compensation. You do however have to set up a Right to Manage Company [also known as an RTM Company] to manage your flats.
Why would I want the Right to Manage?
If you believe that either your freeholder or the management company is simply too expensive, that they are doing a poor job, and that you and the other tenants can manage the block cheaper, better, or both, then you might want to acquire the right to manage your own block and set up your own Right to Manage Company.We have helped many tenants successfully exercise the right to manage their block of flats themselves.
Who can apply for the Right to Manage?
To qualify for UK RTM there are a few basic requirements:
- You must own a long lease with an unexpired term of at least 21 years or your lease must be terminable on death or marriage
- The landlord cannot be a charitable housing trust and the lease must not be a business lease
- The building must contain at least two flats held by qualifying tenants and at least half of the tenants must want to take part in acquiring the right to manage
- Two-thirds of the total number of flats in the building must be owned by qualifying tenants
- Not more than one quarter of the floor space must be in non-residential use
How much does it cost to obtain the Right to Manage?
No premium is payable to take over the rights to manage your block. However you will have to pay:
- Your freeholder’s reasonable legal costs
- Your solicitor’s costs including the cost of transferring ownership of the freehold
- The cost of the Right to Manage Company Formation
Contact Our Right to Manage Company Solicitors
Wherever you live, our solicitors can help. For a FREE initial telephone consultation on the Right To Manage Leasehold Property from an expert solicitor,
- contact us today on FREEPHONE 0800 1404544 for FREE initial advice or
- Complete the contact form below
Comments or questions are welcome.