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Parliamentary reform

Posted by Daniel Oct 1, 2012

Are you aware that parliamentary reform (Common hold and Leasehold Reform Act 2002) now enables leaseholders to form right to manage and resident manage companies. The right was introduced, not just as a means of wresting control from bad landlords, but also to encourage leaseholders, who generally hold the majority of value in the property, to take responsibility for the management of their block. This then empowers the leaseholders with the decision to choose the managing agent of their choice.

The process is relatively simple; the landlord's consent is not required nor is any order of court. There is no need for the leaseholders to prove mismanagement by the landlord. The right is available, whether the landlord's management has been good, bad or indifferent. The right to manage is only available to leaseholders of flats, not of houses. In practice, unless there has been gross mismanagement of properties, so far there has not been much uptake. We aim to bridge the gap in these cases.

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