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Lease Extensions
It can be important to extend the length of a lease for a number of reasons. A lease is a wasting asset which means that the shorter the remaining term the less valuable the lease is. The lease will often be security for mortgage lenders and the majority of lenders require a lease to have at least 70 years left to run.
The price to be paid for a lease extension (known as the premium) will depend on the length of the lease. The premium will therefore increase as the term reduces. It is therefore important from a cost point of view to ensure that the lease term is extended at the earliest opportunity.
The freeholder must state whether:
- they accept that the flat owner is entitled to a new lease,
- they agree with the flat owner’s proposals for the terms of the new lease
- or set out any counter proposals.
At Hart Brown our litigation lawyers are well best placed to advise you and act on your behalf in agreeing the terms of a new lease.
To speak to someone who can help with a lease extension, call, email or request a call back from one of our specialist lawyers.