Leasehold Enfranchisement

The Leasehold Reform, Housing and Urban Development Act 1993 as amended, establishes the right of long leaseholders to buy their landlord’s interest outright or acquire an extension of 90 years. This area of the law is replete with pitfalls and therefore expert advice is essential.

BACI are members of the Association of Leasehold Enfranchisement Practitioners (ALEP), which connotes a consistently high level of service, professionalism and expertise in this area of the law.

A lease extension is strongly advised when a lease term falls below a certain number of years. A leasehold property can still be purchased with a mortgage when the lease has only 50 years left. It is unlikely, however, that you will attract interested buyers.

Before your lease for your residential home/apartment/flat falls below 80 years you should promptly apply for a lease extension, as this will despite the cost, add further value to your property. Serving the requisite Notice before the lease falls below 80 years will avoid having to pay the marriage value element.

Enfranchisement law also includes the less common “collective enfranchisement” where lessees club together to compel the sale to them of the freehold. We steer clients through this process whether acting for freeholders or leaseholders.


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