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FTB - Are these covenants standard or restrictive?

lalna
lalna Posts: 24 Forumite
10 Posts
edited 25 May 2020 at 7:28PM in House buying, renting & selling
Where it says "In respect of Plots [REDACTED] only" this doesn't apply to me. I'm aware the costs of maintaining shared roads can be very high so avoided those plots. The only shared area the maintenance company will be taking care of is a grass field called a "Public Open Space" and the maintenance charges include management fees, grass cutting and insurance (quoted as approx £100 per year).

I have no experience with covenants and although I personally don't have any problem with these ones would they be considered standard for a new build or would it be considered restrictive and lower the future value? Is there anything else I should be thinking about in regard to covenants?

1. No building other than one private dwellinghouse with or without a garage and other usual outbuildings shall at any time be erected on the Property and no part of the Property shall at any time be used for any purposes other than those relating to a private residence or for purposes ancillary thereto.

2. Not to do or allow to be done or not done (as the case may be) anything on the Property which is or may grow to be a nuisance annoyance or inconvenience to the Transferor or its successors in title or the owner or occupier of any adjoining or neighbouring land or which may tend to depreciate or lessen the value of the Estate or any part thereof.

3. No gate fence wall or other permanent means of enclosure (other than any which may have been constructed by the Transferor at the time of construction of the dwellinghouse erected on the Property) shall be constructed nor shall any caravan boat commercial vehicle or trailer be parked between any dwellinghouse on the Property and any road or path to which it has a frontage or return flank frontage.

4. Not to maim injure or remove any tree or shrub planted by the Transferor in accordance with any condition contained in any planning consent relating to the Property and at his own expense to replace any such tree or shrub which may die in accordance with the terms of such condition.

5. Not within seven years from today’s date to paint or varnish the exterior of any building on the Property or the doors or windows thereof in any colour or colours other than the colours which shall have been used by the Transferor in painting such building at the time of its construction.

6. Not within seven years from today’s date to erect or construct any buildings or structures on any part or parts of the Property and not to make any external alterations or additions to the building(s) or structure(s) now constructed or erected on any part or parts of the Property or to alter or remove any screen wall or fence thereon until plans sections elevations and specifications thereof have been submitted to and approved by the Transferor provided that on any such application for approval (such approval not to be unreasonably withheld) the Transferee shall pay to the Transferor a fee of £75 for considering such application whether or not the approval of the Transferor to such application shall be given.

7. No building wall fence or structure shall be erected on or over the Property or any Shared Road (in respect of Plots [REDACTED] only) within three metres measured horizontally from the centre line of any drain or sewer which is now or which shall at any time in the future be laid in on or under the Property or on the Estate which is adopted or intended or required to be adopted or is the subject of or is required or intended to be the subject of an agreement under Section 104 of the Water Industry Act 1991 or any statutory provision amending re-enacting or having similar effect to the same without the written consent of the relevant drainage authority having jurisdiction in that respect from time to time nor that access to any such sewer or drain on foot and with any necessary vehicles plant or equipment shall be obstructed.

8. Not to use the Property or any part thereof or permit the same to be used to provide access or services to any land other than land comprised in the Estate and/or any other land adjoining or adjacent to the Estate which is now in the Transferor's ownership or which may come into the Transferor's ownership.

9. Not to obstruct in any way at any time any ventilators or flues constructed in the walls of any buildings erected on any adjoining land comprised in the Estate.

10. Not to erect or construct any fence wall or other structure whether of a temporary or permanent nature on such part (if any) of the Property as is shown by stippling on the Estate Plan nor to plant thereon any plant shrub bush or tree which shall have a height in excess of 600mm nor permit any plant shrub bush or tree in or over such land to grow to a height in excess of 600mm.

11. To grant such further rights and easements to and/or enter into such covenants as shall be required by the Public Bodies in respect of any Service Media in under over or through the Property in such form as they may normally require and to join in as landowner in any agreement for the adoption thereof as may be required.

12. To keep the whole of the Property and all additions thereto in good repair and condition.

13. Not to affix or erect any hoarding advertisement or notices of any description or any sign stating that the Property is for sale or to let on any wall fence building or erection or on any other part of the Property prior to completion of the Transferor's development of the Estate.

14. To keep indemnified the Transferor from and against all actions proceedings costs expenses claims and demands in respect of any act matter or thing contravening the provisions of any legislation relating to town and country planning.

15. Not to erect place park or allow to remain on the Property any caravan or commercial vehicle upon the Property which restriction shall not include the temporary parking of commercial vehicles in relation to deliveries to and from the Property.

16. Not to keep any animals at the Property save for domestic pets in reasonable numbers having regard to the nature of the Estate and the covenant contained in paragraph 2 of this schedule 3.

17. Not to place or park or allow to remain upon the Property any lorry or trailer or similar vehicle other than a motor car or light motor van which could reasonably be parked inside the garage forming part of the Property or in cases where there is no such garage inside a garage of a size normal for the type of dwelling erected on the Property.

18. Not to alter in any way or construct any building or construction of any kind nor plant any trees shrubs or plants over the Easement Strip or in respect of Plots [REDACTED] only those parts of the Estate which form part of a Shared Road

19. Not to install or erect or display any external lighting uplighting or security lights on the exterior of the building on the Property or within the external areas of the Property any higher than first storey level.

20. Not to transfer or otherwise dispose of the Property or any part other than to a person or persons who have simultaneously entered into the Deed of Covenant. The parties apply to the registrar for entry of a restriction on the register of the title to the Property in standard form L in schedule 4 to the Land Registration Rules 2003, with the exact wording as follows: "No disposition of the registered estate (other than a charge) by the proprietor of the registered estate or by the proprietor of any registered charge, not being a charge registered before the entry of this restriction, is to be registered without a certificate signed by [REDACTED] Management Company Limited (company number [REDACTED]) or its solicitor that the provisions of paragraph 20 of Schedule 3 of this Transfer have been complied with or that they do not apply to the disposition."

21. To pay a fair and reasonable proportion of the costs from time to time incurred in cleansing, maintaining or repairing the Common Areas in the Estate and not to deposit anything on the Common Areas or to obstruct or permit the Common Areas to be obstructed and not to allow any occupier or visitor to the Property to infringe this covenant.

22. In respect of Plots [REDACTED] only To pay one [REDACTED] of the costs from time to time incurred in cleansing, maintaining or repairing the Shared Road

23. Not to park on or obstruct the Estate Roads or the Shared Road.

24. In respect of Plots [REDACTED] only To keep in good condition and repair such parts of the Shared Road and Service Media (if any) as are within the Property.

25. Not to alter, obstruct or interfere with the Easement Strip.

26. On request by the relevant Public Body the Transferee and its mortgagees will enter into a deed of grant in respect of the relevant Service Media in the usual form of the Public Body.

27. At the request of the Transferor or the relevant Public Body to enter into any deed or document in such form as it or they shall require to grant to such Public Body any easement consent or right they shall properly require in connection with the provision maintenance or adoption of the Service Media for the benefit of the Estate or otherwise.

Comments

  • davidmcn
    davidmcn Posts: 23,596 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    All looks like standard stuff to me.
  • greatcrested
    greatcrested Posts: 5,925 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Personally I'd hate to be held to many of those covenants which are, by definition, restrictive (they restrict what you can do).
    But that's why I'd be loathe to buy on many of today's developments unless I had absolutly no option - because they are, indeed, fairly standard I believe.
  • princeofpounds
    princeofpounds Posts: 10,396 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    There's no such thing as 'standard'. There's perhaps something called common practice, but if anything is standard it would be no covenants, because each covenant is a restriction on your rights, or an additional burden, as an owner.

    Many of these sorts of covenants are common on new builds, and mostly relate to preserving the look of the estate while the developer continues to sell plots and perhaps develop adjacent land. 

    Personally I would regard a good handful of these covenants as unduly restrictive and burdensome. I would also be annoyed by the lack of time limits imposed on most of them - some of these things are entirely impractical to observe forever, and you end up in that annoying zombie covenant situation when you try to sell. At least the building alteration clause has a sunset.

    But they are quite 'common practice' for newbuild developments, and if you are happy to abide by them then it's not likely to be a huge problem for you
  • RelievedSheff
    RelievedSheff Posts: 12,584 Forumite
    10,000 Posts Sixth Anniversary Name Dropper Photogenic
    They seem fairly typical and are very similar to the ones we have on our new build property.

    As to how strict they are at enforcing them, well several of our neighbours have already broken several of the covenants and nothing has been done about it.

    We don't feel that they are unduly restrictive and they are there for the benefit of all of the residents of the estate.
  • greatcrested
    greatcrested Posts: 5,925 Forumite
    Part of the Furniture 1,000 Posts Name Dropper

    We don't feel that they are unduly restrictive and they are there for the benefit of all of the residents of the estate.
    Funny - I hought that was what Planning Permission was for?
    More for the Developer's benefit....

  • RelievedSheff
    RelievedSheff Posts: 12,584 Forumite
    10,000 Posts Sixth Anniversary Name Dropper Photogenic

    We don't feel that they are unduly restrictive and they are there for the benefit of all of the residents of the estate.
    Funny - I hought that was what Planning Permission was for?
    More for the Developer's benefit....

    No. Planning permission is entirely for the developers benefit.

    The covenants usually, but not always, refer to how the development will look and should remain looking i.e the planting, parking of commercial vehicles, extensions and building work. They are there for the benefit of the residents. The developer has no benefit from people not parking caravans on their driveways for example.
  • princeofpounds
    princeofpounds Posts: 10,396 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
     The developer has no benefit from people not parking caravans on their driveways for example.
    That's pretty naive. The main reasons these covenants appear is that the developer wants to preserve the look of the estate whilst they market the rest of the properties. Often they own more land than is currently being developed - phased development - and so their interest extends beyond the current plots. 

    The other reason covenants like this tend to get used is so the developer can charge more money for permissions. This specific example doesn't seem too bad given it at least has a sunset clause, but it's not uncommon to see a prohibition on extensions without permission. You have to pay for that permission, usually - there's no other basis for deciding, it's not a planning process. Then there are various administrative things like indemnifying the developer against planning breaches.

    I mean, what possible benefit does it provide to residents to not permit 'for sale' boards...

    If these covenants were really for the benefit of residents, they would award them to a resident's association or similar body. Wait until the developer is off-site and then try to get them to remove caravans from people's drives...
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