Leaseholders being offered Freehold??

Fire_Fox

I live in a development of fourteen flats, with two shops below and I own my lease outright. We previously had notice (maybe two years ago) that the freeholder wished to sell for £1.5 million - they own the adjacent buildings too so I assumed it was the entire block not just our little bit. AFAIK the sale never completed. This letter appears to be addressed to the long leaseholders of flats only.

Other point of interest is an ongoing dispute between at least two leaseholders and the managing agents regarding the very high level of service charge - I have not paid in two years and now owe about £5K. Also they were getting sued on behalf of a resident who was injured when the fire escape collapsed - this was repaired a year ago with all the treads replaced at a cost of at least £15k. The development is not in the best condition, mainly cosmetic tho it does need a new lift. Several flats are vacant and most of the remaining ones are tenanted not owner-occupied.

Today I get a letter "Offer notice under section 5A and 5E of the Landlord-Tenant Act 1987 ...
The principal terms of the disposal are
(1) the estate or interest in the property of which the landlord proposes to dispose of is the landlord's lease
(2) The consideration required is non-monetary consideration consisting of the landlord will pay to the purchaser £20,000 and their reasonable legal fees up to a maximum of £10,000"

I understand that this means we are being offered the opportunity to buy the head lease, which the owners have to do before selling it to anyone else. There is no mention of a purchase price, quite the reverse! Is this because the property has debts attached to it? Would these have to be paid off by the new owner immediately? How do I go about contacting the absentee leaseholders - can I be provided with their names and addressed in this situation (I would have thought not)?

Fire_Fox

So the plot thickens. I have located a previous notice, dated January 2007. It appears only to relate to my building, not the entire block, nor clear if the shops are included. It states

"Principal terms of contract ...
(3) on completion of any transfer of the property the buyer shall use its reasonable endeavours to recover any arrears in respect of the property
(4) the buyer confirms that with effect from the completion date it is and will be responsible for and keep the landlord fully and effectively indemnified against all damage losses costs expenses actions demands proceedings claims and liabilities made against or suffered or incurred by the landlord arising directly or indirectly out of any claim arising out of the landlords ownership of the property whether or not existing at the date hereof."

Nothing to this effect is in the recent document!

tbs624

Try the leasehold advisory service. http://www.lease-advice.org/

Fire_Fox

tbs624 wrote: »

Try the leasehold advisory service. http://www.lease-advice.org/

Thanks. I have used this, in fact we have formally offered to use the Lease Mediation Service (and been ignored!). Just wondered if anyone had any specific experience to add in respect of the debts and contacting the other leaseholders? I have been told by several experts that if we contact the other leaseholders we will have a stronger case, but this assumes they are residents.