Landlords Beware
Landlords beware; commercial leaseholders may get round restrictions in their lease to achieve residential use which brings the potential right to forcibly acquire the freehold (enfranchisement).
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Landlords beware; commercial leaseholders may get round restrictions in their lease to achieve residential use which brings the potential right to forcibly acquire the freehold (enfranchisement).
This article looks at the status of the reforms announced so far around the sale of houses of a leasehold basis, ground rents in new leases, the fees payable by leaseholders for essential information needed on sale and the potential changes to the premium payable for a lease extension or freehold.
The Leasehold Reform (Ground Rent) Bill received Royal Assent on 8 February 2022. The main elements of it, i.e. the ground rent restrictions themselves, remained to be brought into force by regulations. This has now taken place; The Leasehold Reform (Ground Rent) Act 2022 (The Act) will come into force on 30 June 2022.