Sublet consent and renewal fee

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    Sublet consent and renewal fee

    Hi,

    I lived in the flat about 7 years, then moved out and let it out about 2 years now. Recently, the managment company is changed. And new managment company sent letter to request consent of subletting fee ( £80) according below clause in the lease. And they said after first consent period, they will charge £40 per year even if I have the same tenant. The tenancy agreement is said after inital 12 months, the contract will keep rolling until 2 months notice been given. And when I changed to BTL mortage, neither solicitor nor bank request the consent of sublet to me. Please anyone help explain if I should pay for the initial consent of sublet fee and further renewal fee? And they ask to provide copy of tenancy agreement as well. Is it legal to request this details? Thanks.


    #2
    You need to type out what it says about subletting in your lease.

    Edit: Okay, it just appeared.

    There is nothing about consent there, is there? So just 'notice' required, and just the once.

    Comment


      #3
      Originally posted by JK0 View Post
      You need to type out what it says about subletting in your lease.
      Hi JK0,

      Could you see the lease term now? Thanks.

      Comment


        #4
        Please show the actual wording in your lease . I cannot open your attachment

        Comment


          #5
          Requiring the tenancy agreement is pretty standard and desirable, even if the lease only requires notification. It is essential if consent is required; you cannot sensibly consent unless you know to what you are consenting.

          Tenancy agreements can easily end up permitting the sub-tenant to breach the long lease and that then cannot be remedied until section 21 become possible or the sub-tenant is bought off.

          Whilst there are companies that buy freeholds just to milk consent fees without really looking at the documents, they generally try to charge more. On the other hand, yearly renewals does sound like a milking tactic.

          Someone handling notifications for legitimate reasons may well point out problem areas in your tenancy agreement, even though they would not be able to change them, in the way that someone giving consent would.

          (I suspect that the lease was removed because it identified some of the parties concerned.)

          Comment


            #6
            There is no obligation to send a copy of the tenancy agreement if the lease states that only a notice is required and annual fees are not payable if they are not permitted by the lease.

            Comment


              #7
              Leases generally ask for more than a notice; they tend to ask for copies of the actual instrument, which, in this case, is the tenancy agreement. However, without the exact wording, we don't know what is required here.

              Comment


                #8
                Management company used below clause to request consent of sublet:

                14.4. To give to the Lessor and the Manager notice of every dealing with or underletting or transmission of the legal estate in the Premises including all mortgages or legal charges of the Premises within twenty one days after the same shall occur and to pay to each of the Lessor and the Manager during the first five years of the term a registration fee of forty punds plus VAT in respect of any such notice and therafter to pay such reasonable registration fee as the lessor and the Manager or their respective agents shall from time to time determine throughout the remainder of the term and to pay to the Manager the reasonalbe costs incurred by the manager in carrying out its obligations under Paragraph 8 of Part 1 of the Fourth Schedule and registering all notices of legal charges herein together with in each case any VAT or smilimar tax which may be levied thereon.

                Comment


                  #9
                  As when the new management company request consent of subletting, my flat has passed initial 12 months term and became rolling contract. Shall I argue with them that the tenancy has become periodic which not need any additional labour. Therefore, no consent renewal fee need be paid.

                  Thanks.

                  Comment


                    #10
                    As JKO stated, no consent is required and you only need to send a notice when there is a new tenancy agreement, there is no requirement to send a copy of the agreement.

                    Comment


                      #11
                      Thanks. Does notice means need give in 21 days and pay a registration fee of forty punds plus VAT in respect of any such notice and therafter to pay such reasonable registration fee?

                      Comment


                        #12
                        Originally posted by Emma87KT View Post
                        Thanks. Does notice means need give in 21 days and pay a registration fee of forty punds plus VAT in respect of any such notice and therafter to pay such reasonable registration fee?
                        Yeah, but just the once for each tenant.

                        Comment


                          #13
                          For a new tenancy agreement, all you need to do is to write:

                          “I hereby give you notice that I entered into a new tenancy agreement on (date).

                          I enclose herewith the registration fee of £48.00.”

                          After 5 years it is up to the freeholder or the management company to advise you if the registration fee changes and if so, it must be reasonable.

                          Comment


                            #14
                            Is the clause from your lease or just management company's most recent cunning plan?
                            I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...

                            Comment


                              #15
                              Originally posted by theartfullodger View Post
                              Is the clause from your lease or just management company's most recent cunning plan?
                              Hi, this is from original lease. But management company charge £80.00 for initial one. And want to charge £40.00 per year even tenant not change.

                              Comment

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