Leasehold Enfranchisement

Our leasehold enfranchisement team are experts in business leaseholds

Here at Hart Brown, our expert team of specialists are on hand to advise you in respect of any business Leasehold Enfranchisement matters that you may have. Our specialist knowledge, expertise and experience has enabled us to give detailed advice to both landlords and leaseholders. 

What Is Business Leasehold Enfranchisement? 

Business Leasehold Enfranchisement is the term that is used for the process which tenants can in specific circumstances buy their freehold or acquire a lease extension for their business property from their landlords. 

What Should You Consider Before Buying A Business Leasehold? 

  • Check how many years are left on a lease. 
  • Ask about the cost of extending your lease. 
  • Find out how much the ground rent is. 
  • Check for service charges and any other related costs that may arise. 

Why Seek Advice From Hart Brown?

We are proud to have ALEP membership that we have retained through yearly assessments. By being an accreditated member of ALEP it ensures best practice, service and provides a badge assurance to both leaseholders and freeholders by ensuring a level of service and professionalism. Purchasing a leasehold can potentially bring up many issues of which you may need to seek advice, and you can be confident knowing that our team are assisting you. By seeking our help, you are able to free up your time and focus on your business.

Our team are able to provide expert advice on the following areas:

  • Extending Leases – This involves increasing the term of a lease, which usually increases the value of a property. This, in turn, tends to make the business property more saleable and easier to get a mortgage. Landlords tend to receive a premium when a lease has been extended on the property.
  • Buying or Selling Freehold Reversions – These are statutory procedures that enable the leaseholders to acquire their landlords’ reversionary interest in their building, known as Collective Enfranchisement. It can also enable landlords’ to offer their reversion for sale to leaseholders, this is referred to as Right Of First Refusal. 
  • The Right To Manage –  Tihs is a no fault based procedure that enables the leaseholders (other businesses within the block) to take over collectively the management of their office building, as well as the right to appoint their own professional managing agent. 
  • Missing Landlord Claims – Whether a leaseholder wishes to extend their lease or acquire the freehold collectively, sometimes landlords go missing and cannot be found. Lease extensions and collective claims remain possible although the procedure is slightly different. In some limited circumstances, the freehold can be acquired collectively at a reduced premium.
  • Applications To The Property Chamber To Appoint A Statutory Manager – This is a fault based procedure which enables a leaseholder to apply to have a manager that has been appointed by the tribunal in place of the landlord or existing managing agent. 
  • Applications To The Property Chamber To Vary Leases – In some limited certain circumstances, the tribunal has the power to vary provisions in long leases. When this is the case, often compensation is payable in some circumstances.
  • Applications To The Property Chamber To Challenge Or Determine Charges And Breaches Of Covenant – This is a procedure for both landlords and leaseholders to have a dispute about services and administration charges. These can include management fees, cost of repairs, insurance charges, late payment fees and the landlords costs. As well as disputing charges, other breaches of covenant can be resolved by the tribunal during this procedure.

Whether you are the leaseholder or landlord of the business block, our expert team of solicitors in the Leasehold Enfranchisement Department are always on hand to advise and give you peace of mind. Get in touch here to speak to Sarah Osbourne (Head of Leasehold Enfranchisement), alternatively call on 01483 887766 or get in contact via live chat below. 

For some extra information and resources, the Leasehold Advisory Service is a government run website that provides independent advice for both flat owners and landlords.

Who to Contact

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Don’t miss out on some of the most interesting, topical discussions about the law and proposed changes to it.

Our very own ‘You & The Law’ brochure is available for you to download here. If you have any suggestions for topics that you would like covered, we want to hear from you.

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