The Leasehold Extension Procedure
- Pro-Leagle offers a full Leasehold Extension Service.
- A leaseholder can agree the terms of a lease extension informally with the freeholder. Alternatively, they may compel the freeholder to grant a lease extension via the statutory route.
- The lease extension procedure differs depending on which route is taken:
Statutory Lease Extension
- A leaseholder should first ensure that they and their property are eligible for statutory lease extension. Pro-Leagle provide Lease Extension Eligibility Assessments.
- An independent valuation of the cost of lease extension (the premium) should then be obtained. Ideally this is done in advance of any further legal work to determine affordability of the process. Pro-Leagle provide a range of valuation services.
- The leaseholder then serves a legal Notice on the freeholder claiming the right to a statutory lease extension and stating the proposed premium. The freeholder must respond to this by way of counter-notice within a set timeframe. Pro-Leagle provide full management services for the statutory lease extension process.
- If the premium, proposed terms of the lease or freeholder's legal/valuation costs cannot be agreed, referral to the First-tier Tribunal (Property Chamber) may be necessary for a decision. Pro-Leagle provide negotiation and Tribunal representation services.
- Once the premium and terms are agreed, a new lease will then be prepared. Pro-Leagle can assist in the drafting of new leases.
- Following payment of the lease extension premium and freeholder's costs the new lease will then be granted. Pro-Leagle can manage this registration process on your behalf.
Informal Lease Extension
- Both the leaseholder and the freeholder should obtain an independent valuation of the cost of lease extension. Pro-Leagle provide lease extension valuation services.
- The parties then negotiate to agree the terms of the lease extension. Pro-Leagle provide negotiation services to help achieve the best outcome possible.
- A new lease will then be prepared. Pro-Leagle can assist in the drafting of new leases. It is critical for both parties to ensure that any additional terms added to the new lease match their requirements. Pro-Leagle can provide Lease Assessment Reports detailing any problem areas.
- The new lease will then be granted following payment of the lease extension premium and freeholder's legal/valuation costs. Pro-Leagle can manage this registration process on your behalf.
What if the Freeholder cannot be traced?
- Pro-Leagle offers a Freeholder tracing service.
- If a leaseholder fails to trace the freehold owner they will be able to apply to the County Court for a 'vesting order' granting the Lease Extension. The case will then be transferred to the First-tier Tribunal (Property Chamber) for a determination of the premium. A certain procedure should be followed to maximise the chances of a successful outcome.