Advice Centre

Box Faq

Vision are here to help, and offer free advice on ALL leasehold matters you may need help with. If you need a more detailed response on any leasehold matters you are having problems with, please Contact Us and one of our Team will Get in Touch with you ASAP.

Below you will find a list of questions people frequently ask about The Right To Manage procedure.

How many people does it take to start the Right to Manage process?

2

Who should stand as Directors in order to create the RTM Company?

The 1st lessees wanting to start the process.

What type of Memorandum & Articles of Association should we create?

Memorandum & Articles of Association must be in a form as prescribed by Regulations under the Commonhold Leasehold Reform Act.

What is the acquisition date?

The day that residents take control.

Roughly how long will it take, to take control?

The timetable of the various stages is set down in law. You should allow about 6 months, it may take longer if the landlord objects.

When do we start being liable for the landlord's costs?

Once the Notice of Claim is served on the landlord and any other relevant party, the RTM company and its members are liable for the reasonable costs of those upon whom Notice is served. This includes the costs of their professional advisers.

What is the 50% rule?

For the Notice of Claim to be valid, at least 50% of the qualifying tenants must be members of the RTM company. We recommend that as many as possible sign up as this ensures a legal route to share RTM costs.

Do we have to let the Landlord be a member of the RTM company?

If he/she wants to YES.

When did the Right to Manage come into effect?

By virtue of the provisions of the Commonhold and Leasehold Reform Act 2002 effective autumn of 2003.

Is this like the former application to LVT to appoint a manager?

No, because there is no need to prove any fault on the part of the freeholder or the current manager.

How small can the block be in order to be able to prepare a Right to Manage application?

2 Flats.

What are the typical criteria we should think about?

Do the premises consist of a self-contained building, or part of a building, (part of a building can be classed as self-contained if it has vertical division, could be redeveloped independently and has, or could have, its own services).

At least 2/3rds of flat owners must "qualify", ie, hold the residue of a lease that was originally for more than 21 years.

Do the 50% of leaseholders all have to be different flat owners?

No, there is no limit to the number of flats owned by one person.

We have commercial parts to our block, how does this affect things?

The commercial/non-residential content must be no more than 25% of the total floor area.

Right to Manage does it matter how long we have owned our flat?

No.

For Right to Manage does it matter how long we have lived in our flat?

No.

For Right to Manage we rent out our flat as an investment, can we still be a qualifying tenant?

Yes

There are garages at our block, do these count as non residential parts of the premises?

A garage, parking space or storage area where used, or intended for use, in conjunction with a particular dwelling contained in the premises shall be taken to be occupied, or intended to be occupied, for residential purposes.

What is the criteria for determining the internal floor area?

For the purpose of determining the internal floor area of a building or of any part of a building, the floor or floors of the building or part shall be taken to extend (without interruption) throughout the whole of the interior of the building or part, except that the area of any common parts of the building or part shall be disregarded.

If we are a small block & our Freeholder/landlord lives in the block, what does this mean?

4 units is the critical number, if your block has 4 units and a resident landlord then the normal rights to not apply.

What is the definition of a resident landlord?

The premises are not, and do not form part of, a purpose-built block of flats (that is, a building which, as constructed, contained two or more flats).

A relevant freeholder, or an adult member of a relevant freeholder's family, occupies a qualifying flat as his only or principal home.

Our landlord is resident but he only just bought the freehold, how does this affect matters?

Broadly, the freeholder must have throughout the last twelve months occupied the flat as his only or principal home. There are other complex criteria and a case by case approach needs to be taken.