Share of freehold

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Share of freehold

    I recently purchased a property that has a share of freehold. I am the only director of the company. Someone from the block also wants to become a director. Do I just get a form from companies house and add them on?

    also as we now own the freehold do we no longer pay ground rent?

    #2
    You can download a form AP01 from Companies House and complete and post it or you can register to file information online.

    There is no need to pay yourself ground rent.

    Comment


      #3
      I would not be adding anyone as a director until I'm clear what does it mean.
      ​​​​​​who owns the freehold?

      Comment


        #4
        Best to give yourself a statutory 90 years lease extension at Nil extension cost ( only pay the legal costs )

        Comment


          #5
          You need to read your M&A to find out how directors can be appointed.

          Comment


            #6
            As a freeholder you have the right to charge ground rent but no obligation. As it is unclear who own what, I would think very carefully about who does what.

            Comment


              #7
              Originally posted by Section20z View Post
              You need to read your M&A to find out how directors can be appointed.
              ^^^ This.

              It may be that, as a director, you can appoint other directors without the other leaseholders having a say. However, the company articles might require new directors to be voted in by leaseholders.
              You also need to confirm that the person who wants to be appointed meets any requirements for being a director of the company.




              Originally posted by Anna1985 View Post
              As a freeholder you have the right to charge ground rent but no obligation. As it is unclear who own what, I would think very carefully about who does what.
              Why do you think that it's unclear who owns what?
              Unless there are problems with the leases, it should be clear enough what parts of the property are demised to leaseholders, with any remaining areas being the communal parts (if there are any). The leases should also make it clear what responsibilities individual leaseholders have, and what responsibilities the freeholder has.


              The members of the freehold company can choose to extend their leases and/or not to collect ground rent, even if it does remain part of the leases.
              If you do decide to extend leases the terms should be agreed by all members of the company - and if one or more cannot extend their lease immediately (perhaps because they can't raise the money for the solicitors fees) they should be given the opportunity to extend the lease at a later date on the same terms.

              Comment


                #8
                I agree that you should check that the member is eligible to become a director under the Articles and he/she is not disqualified to act. I also agree that you should check the Articles to ensure that directors may appoint other members as directors, It is also correct that the Articles may require directors to seek re-election. The members have the right to remove directors at a meeting of members.

                Comment


                  #9
                  Apologies in advance for this potential thread hijack.

                  Background;
                  Recently purchased half the freehold of a block of flats consisting of 3 Flats. Both myself and the person who owns the other half of the freehold are directors in our mini RTM company..

                  My question is now we own the Freehold for the building do we still need the RTM company?

                  Comment


                    #10
                    Originally posted by Nash762 View Post

                    Recently purchased half the freehold of a block of flats consisting of 3 Flats. Both myself and the person who owns the other half of the freehold are directors in our mini RTM company..

                    My question is now we own the Freehold for the building do we still need the RTM company?
                    The leaseholder of the 3rd flat should either be a member of or have the right to become a member of the RTM Company and you should not act in a manner which would be detrimental to that leaseholder.

                    Comment

                    Latest Activity

                    Collapse

                    • Reply to Section 20 costs
                      by lampshade
                      It occurs to me and others that there us no responsible person. How can work so important be neglected for over 2 years and all thagt has happened is that leaseholders have been made to pay £000s each, for work that has not been carried out....


                      I and other leaseholders, are pretty...
                      27-05-2022, 13:06 PM
                    • Section 20 costs
                      by lampshade
                      Having been issued with a section20 that requires a lot of expensive works to common area doors and the like, I am wondering what the situation is regarding an increase in quotations already given.
                      Materials prices are rising fast and we have no idea when the works will start so given that we...
                      18-11-2021, 06:32 AM
                    • Old managing agents accounts
                      by jazzythumper
                      Since obtaining the RTM and changing the managing agent, we have never been given full accounts / receipts for the previous year(s). We believe that as the old freeholder and leaser holder of one of the flats were represented by the same solicitor that prior to the sale of the freehold, we were subsidising...
                      20-05-2022, 11:21 AM
                    • Reply to Old managing agents accounts
                      by jazzythumper
                      Since we have no reconciliation accounts, and the old managing agent didn’t pass on any account or funds to us, we have no way of knowing whether the debt was wiped with the sale of the freehold which I suspect it was. Sadly I don’t think it seems there is any way tl
                      find this info out?...
                      27-05-2022, 11:14 AM
                    • Freehold confusion
                      by davetg
                      30 years ago I bought a flat from a friend. The freehold at the time was registered to my friend and the lady who owned the other flat. I understood at the time that I would replace the friend on the freehold but this never happened. This was not a problem until now as when work on the structure of...
                      24-05-2022, 14:29 PM
                    • Reply to Freehold confusion
                      by AndrewDod
                      I'd partially disagree with ^.
                      Certainly it will have no value on the open market sold alone. But would have value as an addition to a flat sale, simply because the control that can be exerted carries value (the same does not apply to a typical; share of freehold situation where a minority owner...
                      27-05-2022, 09:29 AM
                    • Reply to 2-1 transfer - what does Freeholder do?
                      by Lawcruncher
                      There are two distinct things.

                      One is whether the landlord's consent is required for the transfer. If it is (which would be unusual but not unknown for a long residential lease) then the landlord can impose reasonable conditions on granting the consent. If it is not, then the landlord has...
                      27-05-2022, 08:04 AM
                    • 2-1 transfer - what does Freeholder do?
                      by Flashback1966
                      I am a Freeholder. Have a flat there too. I have received an email from the leaseholder's soclitors acting for Mr A. They are doing a 2-1 transfer from the names of Mr A and Ms B to just Mr.

                      The solicitors want to know the requirements on completion.

                      Is is just a notice of...
                      26-05-2022, 18:46 PM
                    • Reply to Freehold confusion
                      by CStevens
                      In response to your questions:

                      1. You will need the landlord to sign a TR1 as suggested above. If your friend has passed away then his Executors will have to sign;
                      2. In short no. The real value in these freeholds is normally the money that has to be paid in order to extend leases....
                      27-05-2022, 06:42 AM
                    • Reply to 2-1 transfer - what does Freeholder do?
                      by CStevens
                      check the tenant's lease but normally you should (a) ensure all rent and service charges are paid up to date; (b) check that there are no existing breaches of the lease. If there are then you should require the tenant to deal with these before agreeing to acknowledge the transfer.

                      With...
                      27-05-2022, 06:34 AM
                    Working...
                    X