Buying freehold - queries

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  • Buying freehold - queries

    Hi,

    Please could someone offer any advice on this?

    I am hoping to buy a first floor purpose built maisonette. It's in a semi detached property with one ground floor p/b maisonette below.

    I would like to buy the freehold. The reason for this is that there is some garden land owned by the first floor lease which I think might be quite valuable to turn into garages to rent out. Obviously I wouldn't be able to do this owning only the leasehold interest, which restricts usage to garden only. But I thought if I could buy the freehold then I could amend the lease terms either to remove the restrictions or to remove the garden land from the lease completely.

    What I'm not sure about is whether I can do what I hope to do at all by law and if I can how I go about it. The lease is long - about 120 years left to run and the expenses (ground rent etc) very low so would I be right in thinking that the cost of buying the freehold should be low-ish too?

    Would the freehold have to be purchased by both me and the lower maisonette or could I purchase it in my own name?

    Many thanks in advance for any help/tips.

    Regards,

  • #2
    Originally posted by investor68 View Post
    Hi,

    Please could someone offer any advice on this?

    I am hoping to buy a first floor purpose built maisonette. It's in a semi detached property with one ground floor p/b maisonette below.

    I would like to buy the freehold. The reason for this is that there is some garden land owned by the first floor lease which I think might be quite valuable to turn into garages to rent out. Obviously I wouldn't be able to do this owning only the leasehold interest, which restricts usage to garden only. But I thought if I could buy the freehold then I could amend the lease terms either to remove the restrictions or to remove the garden land from the lease completely.


    What I'm not sure about is whether I can do what I hope to do at all by law and if I can how I go about it. The lease is long - about 120 years left to run and the expenses (ground rent etc) very low so would I be right in thinking that the cost of buying the freehold should be low-ish too?

    Would the freehold have to be purchased by both me and the lower maisonette or could I purchase it in my own name?

    Many thanks in advance for any help/tips.

    Regards,
    Above all else, keep f/r (for maisonette) quite separate from leasehold.
    Existing freeholder has to offer it to 2 lessees jointly. You alone could buy only if other one not interested.
    JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
    1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
    2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
    3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
    4. *- Contact info: click on my name (blue-highlight link).

    Comment


    • #3
      Is the freehold for sale?

      Comment


      • #4
        Originally posted by Poppy View Post
        Is the freehold for sale?
        Even if not, lessees (ie current lessees, not you as purchaser) have pro-active right to acquire f/r: see Leasehold Reform Housing and Urban Development Act 1993- even if reversioner doesn't want to sell.
        JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
        1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
        2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
        3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
        4. *- Contact info: click on my name (blue-highlight link).

        Comment


        • #5
          Hi,

          Once you became a leaseholder, you could only exercise your right to purchase the freehold if the other leaseholder was agreeable to participate with you. This is always the case where there are only two flats in the building.

          Your neighbour would then have to agree to convert the garden into garages.

          The cost of purchasing your freehold share depends upon a number of factors, although with 120 years remaining, the cost would probably not be exorbitant. Please contact me if you would like a freehold valuation undertaken. I currently charge £60.00 (inc. VAT) per flat.

          Best wishes,


          CORINNE TUPLIN
          DIRECTOR
          PRO-LEAGLE
          www.proleagle.com
          CORINNE TUPLIN
          SOLICITOR
          PRO-LEAGLE
          www.proleagle.com

          ___________________
          Please note that any comments made are personal opinion and do not constitute legal advice.

          For Service Charge Disputes, you may wish to use Pro-Leagle's online Service Charge Dispute Analyser: http://www.proleagle.com/servicecharges.htm

          Comment


          • #6
            Hi everyone,

            thanks for your helpful replies.

            I don't know if the freehold is for sale but I would like to enquire of the freeholder whether he/she would be willing to sell. If not, then I would be interested to know more about how one qualifies to have the right to buy the freehold - as mentioned in the post above by Jeffery - can anyone help with this? For example does it depend on how long you have lived there etc., etc. Also, if the owner of the leasehold maisonette below is not interested in buying does this mean I can go ahead and buy it myself - is is sufficient to just show that the lower flat has been consulted and opted out (if this does prove to be the case).

            Many thanks again.

            Regards,

            Comment


            • #7
              Originally posted by investor68 View Post
              Hi everyone,

              thanks for your helpful replies.

              I don't know if the freehold is for sale but I would like to enquire of the freeholder whether he/she would be willing to sell. If not, then I would be interested to know more about how one qualifies to have the right to buy the freehold - as mentioned in the post above by Jeffery - can anyone help with this? For example does it depend on how long you have lived there etc., etc. Also, if the owner of the leasehold maisonette below is not interested in buying does this mean I can go ahead and buy it myself - is is sufficient to just show that the lower flat has been consulted and opted out (if this does prove to be the case).

              Many thanks again.

              Regards,
              1. For collective purchase of f/r ("enfranchisement"), there is NO qualifying period : see definition of "qualifying tenant tin section 5(1).
              2. The two-year qualifier applies only to individual lease extension where property is a flat/maisonette (ie not house).
              3. Notice of claim under s.13(1) must be given by at least half of q/ts.
              4. I'm not sure if one of two q.ts. can serve notice on his own. Perhaps better for uninterested q.t. to join in serving and then to drop out under s.15(3)?
              JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
              1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
              2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
              3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
              4. *- Contact info: click on my name (blue-highlight link).

              Comment

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