RIGHT TO MANAGE SOLICITORS

To qualify for the right to exercise the leaseholders’ right to manage their apartment block:

• The building must be made up of mainly residential apartments. A minimum of 75% of the building must be residential.
• The building must be self-contained.
• The building cannot be a charitable trust.
• To be a qualifying tenant the flats must be long leasehold (i.e., granted for at least 21 years). At least two thirds of the building must be let to ‘qualifying’ tenants.
• 50% of the qualifying tenants in the building must want to exercise the right to manage and must become member of the right to manage company.

Leaseholders must set up a company to exercise their Right to Manage. This company will need to have Articles of Association and nominated directors in order to be valid. For leaseholders, setting up your Right to Manage company on the proper basis is not only a legal necessity it also ensures you have a solid foundation for the future management of your building and a positive relationship between the various leaseholders involved.

Birch Law’s property law experts can assist leaseholders with setting up a company to exercise their Right to Manage, ensuring all the necessary legal requirements are met.

All qualifying leaseholders in a building have the right to be members of the new Right to Manage company, as does the landlord. The leaseholders who have decided to start the Right to Manage process are legally required to serve proper notice inviting participation to all eligible parties.

Birch Law’s Right to Manage team can assist with preparing and serving Notice inviting participation in the Right to Manage process. We can also advise on and respond to such a Notice that you may have received.

Once notice has been served, there are various steps tenants and landlords must go through to meet the legal requirements for Right to Manage. Seeking expert legal advice can help this process go smoothly, while keeping the time and expense involved to a minimum.