Leasehold and Commonhold Reform

In this second article in our series of three we look at what it means for residential leaseholders and their landlords following the Government’s confirmation that it will enact the remaining Law Commission recommendations around enfranchisement rights (leaseholders rights to extend their lease or acquire the freehold to their house or block of flats).

The Law Commission’s recommendations are set out in its report “Leasehold Home Ownership: Buying Your Freehold or Extending Your Lease”. The stated intention of the recommendations was to “help make our homes our own rather than someone else’s asset. They are intended to make the law work better for leaseholders”. Their report was described as a root and branch review of enfranchisement rights.

Good news for shared ownership lessees

Earlier this summer Mark Loveday of Tanfield Chambers was successful in the Court of Appeal on a key point which could affect hundreds of thousands of existing shared ownership lessees and more in the future.

The case of Avon Ground Rents v Canary Gateway concerned the lessees of Canary Gateway and their lengthy attempt to take over the management of their building using the Right to Manage process. They started their claim in 2019 pre covid and several First Tier Tribunal and Upper Tribunal decisions later found themselves in the Court of Appeal on this specific point.

Landlords ability to build on flat roofs

Landlord able to build additional Flats on the roof despite the terms of existing flat leases. Vectis Property Company Ltd v Cambrai Court Management Company Ltd [2022] UTUK 42 (LC).