The Appeal of Buying the Freehold

For many leaseholders, buying the freehold is an attractive option. It not only increases the value of their property but also grants them greater control over the management of their building. However, the responsibility of managing a block of flats, especially with multiple occupiers, can be overwhelming and legally complex.

Challenges of Self-Managing a Block

In this North West London block, the leaseholders initially chose to self-manage, avoiding the expense of a professional property management company.

Legal Issues Uncovered

When the leaseholders decided to hire a property management service, The Ringley Group uncovered a serious issue with their lease. The lease contained a clause that prohibited appointing an agent and specified that service charges could only be collected in arrears. This meant the leaseholders had unknowingly violated the lease terms for years, which could have led to legal complications down the line.

Updating the Lease for Compliance

The Ringley Group recommended updating the lease to align with current needs. By using Section 37 of the Landlord and Tenant Act 1987, a majority vote from the leaseholders could override a dissenting party and amend the lease to include a functional service charge clause. This update would allow the block to collect service charges in advance and ensure proper legal compliance moving forward.

The Leaseholder Support Solution

To help the leaseholders manage their block without the burden of hiring an agent, The Ringley Group introduced their www.leaseholdersupport.co.uk service. This online platform provides everything needed for self-managing a property—such as compiling service charge accounts and managing arrears collection—while ensuring legal compliance and offering expert support when needed. This service has enabled the North West London block to continue self-management with more efficiency and less stress.

Empowering Leaseholders with Professional Support

By using the Leaseholder Support service, the North West London block owners gained the benefits of professional assistance without sacrificing their independence. They were able to handle administrative tasks like service charge collection and account management, while still maintaining control over the day-to-day operations of their block. With guidance from The Ringley Group, they not only became compliant with their lease but also gained confidence in their ability to effectively manage their property, all while minimizing the risk of future legal or financial issues.