Lease Extensions

Throughout the UK many lessees are faced with the problem of a declining lease term which may have a substantial impact on the value of their flat and may make a subsequent sale difficult. However legislation now allows a lessee to solve the problem by extending his or her lease. In accordance with the Leasehold Reform Housing and Urban Development Act 1993 (as amended by the Commonhold Leasehold Reform Act 2002) lessees who meet the qualifying criteria have a statutory right to a 90 year extension to their existing lease at a peppercorn ground rent. The statutory process can be complicated and it is essential that lessees and freeholders seek professional valuation and legal advice.

Even though lessees may have a right to follow the statutory route it is usually sensible to contact the Freeholder initially to establish whether other options are available at possibly lower premiums. Our role will involve considering whether such options are appropriate and advise accordingly.