The Right To Manage (RTM)

Aj_newbie

Hello!

I have a very basic question about RTM of an apartment block. We have 70 flats in total, out of which 24 are Housing association, 4 are shared ownership and rest 42 are leaseholds (flat owners). The Right To Manage guidance (that I found on the web) suggests we need 50% of the flat owners to come together for RTM. My question -

This 50% is 50% of the total 70 flats or is it 50% of the leaseholders (42) or 50% of the sum of leaseholders and shared owners (42+4)?

In numbers, in order for RTM to be successfull, what is our magic number? 35 or 21 or 23?

Many Thanks in advance,
Aj

Bogalot

35. Each apartment will have a lease, even if the leaseholder does not live there.

[Deleted User]

We have just set up a RTM and it's 2/3rds of leaseholders need to join . We are lucky in that there is only 3 flats and
two of us wanted to do it but the third is being quite illusive so that maybe problematic in the future .

eddddy

https://www.lease-advice.org is a good resource for info on this type of stuff.

They say:

The right to manage may only be exercised by a right to manage company and the members of the RTM company must comprise a sufficient number of qualifying tenants. The required minimum number of qualifying tenants must be equal to at least half the total number of flats in the building.

Link: http://www.lease-advice.org/advice-guide/right-to-manage/

So half the number of flats = 35.

Only the 42 leaseholders will be qualifying tenants.

So you need 35 of the 42 leaseholders on board.



To clarify, it seems you cannot include the shared ownership leaseholders as qualifying tenants (unless their share is 100%):

Under section 76(2), a lease could be a long lease if:
- It was granted for a term exceeding 21 years and;
- If it was a shared ownership lease, where the tenant's share was 100% .

link: http://www.sharratts-london.co.uk/news/49-right-to-manage-shared-ownership

But....

Are all 70 flats in one block/building? If not, you have to look at your building on its own:

The right relates to a building, so, in an estate of separate blocks, each block would need to qualify separately and an individual RTM notice served. In the case of an estate of flats under the same management, it would be sensible to take over the management of the whole estate, but this would have to be accomplished by application in respect of each separate block.

Link: http://www.lease-advice.org/advice-guide/right-to-manage/