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Right to Manage

Hi all,

I am considering placing an offer on a property that is a ground floor flat, leasehold with a long lease. There are two flats in the building which is a converted regency house.

However the building has fallen in to disrepair, the landlord has neglected their obligations under the lease, no ground rent or maintenance payments have been collected and reparatory works are required to put back into shape, render blown, damp etc. The purchase will possibly require absentee landlord indemnity insurance as apparently she is not exactly "responsive".

These works & insurance do not worry me but what does is that the flat above is owned by the freeholder which I believe they inherited so to speak when buying the flat. I do know on the grapevine that the freeholder/flat owner above is looking to sell the flat. However I know the value and imo it is overpriced for the market.

My fear is that the freeholders flat wont sell, she will rent it out again, and any claim I may make to the right to manage will be useless as I may win the claim but from the sounds of thing she would not contribute to any costs to get the building into shape.

Is there any route I can pursue to force her to make payments if I get the Right to Manage? Or is there any other route someone can suggest that may help me get the building into shape without paying it all myself?

I am thinking it may be just a case of taking the risk that her property will sell and the new owner will want to get building back into shape... but was hoping someone may be able to shine some light...

Any help/advice appreciated

Luke

Comments

  • Doozergirl
    Doozergirl Posts: 34,082 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Is upstairs on a lease at all? It often happens in small conversions that the freehold remains with one flat and the other floor is leased out. If that is the case then you cannot take the Right to Manage.

    If upstairs is on a lease as well then I think you can still take the RTM. If you do this then upstairs will be liable but you will have to do all the work by the book if you stand a chance of getting the money and I would take advice from the Leasehold Advisory Service on how you should do that.

    If they should pay for works under the terms of the lease then you should be able to persue them. As my solicitor said, there is no point in persuing someone if they have no money. You can't get blood out of a stone!

    I would give the Leasehold Advisory Service a call. They are very friendly and the advice is free. :)
    http://www.lease-advice.org/publications/documents/document.asp?item=21
    Telephone: 020 737 5380
    Everything that is supposed to be in heaven is already here on earth.
  • Fire_Fox
    Fire_Fox Posts: 26,026 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    I would read the LEASE website thoroughly before you bother calling them, all your basic questions will be answered. Would be worth checking your conveyancing solicitor or someone in the practice is experienced in leasehold disputes and LVTs.
    Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️
  • Thanks for the advice.

    I will check the website and make contact.

    I have seen a copy of the HIP and explains that both flats are on a lease 999 yrs from 1978.
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