Extending lease formal method...

[russetbella1000]

Hi

I'm in the middle of this process atm.
88year lease with premium ranging from £3500-7500 on £250,000 property.
I want to obviously extend lease by 90 years as is right under legislation etc.

Freeholder has come back with huge premium but worse has stated that he'll only agree original lease is 99 years not the potential 178 years which I assumed I'm entitled to under the reform act etc.

Sol is dealing but on holiday.

Is this just standard that freeholder is trying it on as surely I could have got what he's offering informally and the whole point of serving the notice etc was to get the extension of the 90 years added to the remaining lease.


Is this going to go to FTT???
Please advise

[russetbella1000]

'Please advise'😉

I mean if you have any really positive stories of similar tactics used by freeholder or indeed are a sol and can give me any reassurance I'd be really really grateful!

[russetbella1000]

Bumping...

[LunaLoveg00d]

No direct experience but I used to work for a solicitor doing this sort of work (i'm not a lawyer though) and they were quite relaxed about referring cases to the First Tier Tribunal if they felt it were justified. You and the solicitor need to weigh up the amount the freeholder is asking for against what you think it's worth, plus the legal fees associated with taking it to Tribunal.

You are absolutely right though that the Leasehold Reform Act gives you the right to extend your lease by a period of 90 years on top of any unspent time on the current lease so you would get 178 years.

Sounds like either the freeholder is an arse, or he's being poorly advised. Are you dealing with a specialist solicitor who only does freehold purchase or leasehold extension work? From what I've seen, this is complex legal work and general property solicitors who mainly do conveyancing are often not the best people to do it.

Do not accept the freeholder's offer. Go back to your solicitor and ask them to point out to the freeholder that their offer does not comply with legislation. If they still persist with a ridiculous premium for extending, Tribunal might be the only option.

How long have you owned the property and is freehold purchase an option? If you're in a block of flats would the majority of the other residents be up for it?

[russetbella1000]

Thank you so much for your reply!!

I have owned my flat for 11years it was originally a 99 year lease.

Im sure you're right about freeholder just being an arse and trying it on but he's actually a solicitor himself (although he's being represented by a law firm for this)

I just can't believe he's trying it on. His counter offer is some £2000 more than the highest figure in the range given by the valuer so in just so annoyed he's doing this. So greedy.

Anyway thanks again for your reply. My solicitor is specialist in lease extensions so hopefully will be familiar with the tactics etc.

Will just have to wait until back from hols though which is frustrating. Ok thanks again! 😉

[russetbella1000]

It's a conversion and my neighbour is very elderly so reluctant to go for share of freehold etc unfortunately...

[LunaLoveg00d]

Stick to your guns and don't be bullied. You know your rights, he clearly thinks he can pull the wool over your eyes.

[russetbella1000]

👍👍😉thank you!