Section 20 Estimates

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    Section 20 Estimates

    Hi guys, hope you're all good.

    I was hoping to reach out and see if anyone could help me with a question I have around the Section 20 process.

    Is there anything in the process around the length of time the freeholder has to get the estimates to us to review once the notice of intention period has expired?

    I know that we have 30 days to review them once issued, but our freeholder is being difficult with our sale and has done a number of things to block it. He has already caused three buyers to pull out already. We keep asking when they will be ready, but we're getting nothing back.

    We have disclosed to our new buyers that there will be works coming, but we can't negotiate costs with them as we don't know what they are yet. I'm worried the freeholder will never get these estimate done, which will constantly put buyers off due to the uncertainty.

    Is there any time limit on these at all? Can the freeholder just take their sweet time?

    Any advice would be amazing.

    Thanks, all.

    #2
    There is nothing in statute law. I seem to remember that there is case law as when the time is so long that the process should restart from the beginning.

    You would expect four to six weeks, if there were any changes as a result of the first stage, or leaseholder proposed contractors, but that is much less than the amount of time after which the consultation might be considered stale.

    Comment


      #3
      Thanks so much for tbe quick response. So basically, if he wanted to take three months to get them back to us, he could?

      Comment


        #4
        Depending on the type of work proposed, and the responses received following the first stage of consultation, it may be unreasonable, or even not possible, for the freeholder to quickly issue quotes.

        For example, if leaseholders responses require the proposed work to be reassessed for any reason new specifications might have to be produced before quotes are obtained.

        Comment


          #5
          I would say the effective limit is more like a year. However, if the question is the uncertainty in the charge, the only effect of taking too long is that the process has to start over. If the work was necessary originally, it will still be necessary, so the cost of it will still be a cost to the buyer, however long it takes.

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