Right to Manage Leasehold


Right to Manage Leasehold is a legal provision in the United Kingdom that allows leaseholders of residential properties to take over the management responsibilities of their building from the landlord or the existing management company. Here’s an overview of the Right to Manage (RTM) for leasehold properties in the UK:

  1. Purpose: The Right to Manage was introduced to give leaseholders greater control over the management of their properties, including maintenance, repairs, service charges, and other aspects of building management.
  2. Eligibility: To qualify for the Right to Manage, leaseholders must meet certain criteria:
    • The building must be predominantly residential, with at least two-thirds of the flats held by qualifying tenants.
    • The building must be self-contained or structurally detached.
    • At least 50% of the qualifying tenants must agree to participate in the RTM process.
  3. Procedure: Leaseholders wishing to exercise the Right to Manage must follow a specific legal procedure, which typically involves the following steps:
    • Serve a formal notice of claim on the landlord or the current management company, stating the intention to exercise the Right to Manage.
    • Form a Right to Manage company (RTM company) to take over the management responsibilities.
    • Meet the statutory requirements regarding the composition of the RTM company and the participation of qualifying tenants.
    • Serve a formal notice of invitation to participate in the RTM on all qualifying tenants.
    • Respond to any counter-notices or objections raised by the landlord or other parties.
    • Transfer management responsibilities to the RTM company upon successful completion of the process.
  4. Management Responsibilities: Once the RTM is established, the RTM company assumes responsibility for managing the building. This includes tasks such as collecting service charges, arranging maintenance and repairs, insurance, dealing with lease extensions, and other administrative duties.
  5. Benefits: The Right to Manage gives leaseholders greater control over the management of their property, potentially leading to improved service standards, cost savings, and greater transparency in decision-making.
  6. Challenges and Considerations: While the Right to Manage offers significant benefits to leaseholders, it also comes with challenges and considerations:
    • Leaseholders must be prepared to take on the responsibilities and obligations of building management, which can be time-consuming and require expertise in property management.
    • The process of exercising the Right to Manage can be complex and may involve legal and administrative costs.
    • Leaseholders should carefully consider the implications of taking over management responsibilities and ensure they have the necessary resources and support to do so effectively.

Overall, the Right to Manage provides leaseholders with a valuable opportunity to take control of the management of their properties and improve the quality of their living environment. However, it’s essential to seek professional advice and carefully consider all aspects of the process before proceeding with an RTM claim.

Finally, successful property maintenance is vital to ensure your property’s upkeep. You can call Uniq Block management or ask for a FREE quote here for property management services. Thanks for the Read!

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