Unreasonable leasehold garage legal fees?

AG91

Hoping someone can give some insight into my ongoing house purchase.

I'm buying a freehold house that comes with a garage, which was found to be leasehold by my solicitor as it sits beneath a flat. That's all fine with me as I understand it has to be leasehold. My issue is with the landlord / freeholder, who happens to be the local authority. After taking a ridiculously long time (~4 weeks) to even acknowledge solicitor requests for the notice, certificate and deed etc., they have responded with a fee to the tune of £1000. £500 surveyor fees and £500 legal fees. Both mine and sellers solicitors have expressed this is very excessive for just a garage assignment (it's more than my conveyancing fees!) but the council haven't budged when queried - they are their standard fees apparantly. I have since instructed my solicitor to inform the sellers solicitors I am unwilling to pay this amount. I'm hoping they will reduce this amount if the sellers solicitors apply a bit more pressure.

I'm very frustrated as this was not a fee I was expecting from the start of the purchase, especially this high and after waiting so long to complete.

Does anyone have experience of leasehold garages? Are these fees unreasonable - what's the norm?
Is this one of those moments where I have to just take the hit if I want the property?

Any advice or thoughts would be greatly appreciated.

Davesnave

AG91 wrote: »

I'm hoping they will reduce this amount if the sellers solicitors apply a bit more pressure.

Any advice or thoughts would be greatly appreciated.

If this is the council's standard fee for the transaction, what kind of pressure do you think the sellers might apply in order for a special case to be made?

Presumably, the council have no interest one way or the other whether you buy the garage, so I'm not sure what form this pressure might take.

jimbog

It seems unreasonable but councils are really struggling across the country at the moment.

Many people voted for austerity measures (not saying you) hoping that it would only affect other people and not them.

Bossypants

I wouldn't expect the seller's pressure to make mych (any) difference to the council. More likely they might offer to conver half, or something like that.

dimbo61

Hi you will face the same problem when you come to sell.

Tom99

[FONT=Verdana, sans-serif]Presumably this is an existing lease, not a new one, and being assigned to you by the seller of the house you are buying?[/FONT]
[FONT=Verdana, sans-serif]If so, there is no need for a surveyor to act for the freeholder of the garage.[/FONT]
[FONT=Verdana, sans-serif]What exactly does the lease of the garage say about assignment? Leases usually say that within x days of an assignment you must notify the freeholder. I don't think it is normal that you require prior permission or licence from the freeholder to assign, unlike say a structural alteration or maybe sub-let.[/FONT]
[FONT=Verdana, sans-serif]What does the lease say about landlord fees?[/FONT]
[FONT=Verdana, sans-serif]Ask your solicitor whether you can complete the assignment of the flat and debate the fee later.[/FONT]

AG91

Thanks for all replies.

Davesnaves: To be totally honest I am unsure what type of pressure the sellers can exert on the council. Maybe I'm being naive, but I thought they could argue that this fee is unreasanable, or at least to start the conversation that this fee is split between myself and sellers somehow.

Tom99: This is an existing lease. The lease is being assigned to myself.

One clause in the lease states (as you mentioned):
Paragraph 10: Upon every permitted assignment or transfer or mortgage or charge...... to give the solicitors of the lessor notice in writing within 1 month of such assignment transfer or charge.....and to pay the lessor no less than £35 for the registration of every such transaction.

This fee has also been requested in addition to the legal fees.

The lease also states:
Paragraph 8.2: Not to assign or part with or share possession of the garage as a whole save by an assignment to take effect simultaneously with an assignment or transfer of the property to the assignee or transferee of the property to the intent that at all times the owner of the garage and the owner of the property shall be the same person
Paragraph 8.4: Not to assign underlet or part with possession of the garage as a whole without first procuring that the assignee or underleassee enters into a seperate deed of covenant with the lessor to observe and perform the covenants and conditions herein contained and be subject to compliance by the leasee with the provisions of paragraph 8 and 10 of this schedule and to pay the costs of the lessors solicitors for the preparation of such a deed.

Thanks again.

Tom99

[FONT=Verdana, sans-serif]No mention of surveyor costs anywhere and I can't see why one would be needed so challenge that.[/FONT]
[FONT=Verdana, sans-serif]Para 8.4 does not say whether the existing on new leaseholder should pay the legal costs so offer to split 50/50.[/FONT]