Whether you’re a group of leaseholders looking to buy the freehold or a landlord navigating the sale, we’re here to provide expert guidance at every stage. Our collective enfranchisement solicitors help you understand the process, meet legal requirements, and reach an outcome that protects your interests.
We specialise in the collective enfranchisement process for landlord-tenant relationships, focusing on clear, actionable advice to resolve any issues quickly and efficiently.
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The collective enfranchisement process
Collective enfranchisement allows leaseholders to come together and purchase the freehold of their building. It’s a complex process, but with the right legal support, it’s entirely achievable. Our collective enfranchisement solicitors will walk you through every step, from confirming eligibility to negotiating the purchase price.
Eligibility criteria
To start the process, certain criteria must be met:
- The building must qualify for enfranchisement.
- The 25% non-residential rule must be satisfied.
- A sufficient number of qualifying leaseholders must be interested.
Once eligibility is confirmed, a special company is set up to acquire the freehold. This company will act as the new landlord after the purchase is completed.
Serving the notice
After the special company is established, it will serve a formal notice on the landlord asserting the leaseholders’ right to purchase the freehold. The notice will outline the proposed price, based on a formula defined by the legislation.
It’s vital to instruct a surveyor early to calculate the premium accurately and ensure that your position is protected.
Landlord response & negotiation
Once the notice is served, the landlord has at least two months to respond with a counter-notice. Most commonly, the landlord will accept the right to enfranchise but dispute the premium. In such cases, both parties will negotiate the price.
If an agreement can’t be reached, we can represent you at the First-Tier Tribunal or in County Court to secure a fair resolution.