A Commonhold Conundrum, Well Expressed
Recently we were approached by an experienced property manager curious how the government’s new commonhold proposals can be practically implemented, writes Clive Scrivener MRICS, Founder Partner at Wimbledon-based Chartered Surveyors, Scrivener Tibbatts Ltd. His view deserves to be widely debated, so here’s his letter:
I write as someone with 38 years work experience in the long leasehold sector, primarily as property manager.
Suppose there is an estate of flats sold on a long leasehold basis, built over two or three floors and consent is granted to add a floor to each building with two new flats per floor. [Indeed, numerous properties in Prime Central London and many city centres would be ideal candidates.]
Whether or not the existing leaseholders elect to convert to commonhold remains to be seen. But I doubt doing so will be nearly as popular as the Government supposes.
However, when flats are being added to an existing structure where other flats are held on a long leasehold I believe it would be more appropriate for the new flats to be allowed to be sold on leases that are common with the rest of the development. Surely one can’t have some flats commonhold and the rest long leasehold? They must surely all be consistent?
[My correspondent adds a postscript, which will also hopefully come to the attention of those who can react.] I don’t suppose anyone will bother acknowledging this contribution. I do not like replying to consultations because HMG tends not to write the questions that deserve to be considered.
Please take this idea on board. Any competent conveyancer will tell you amongst the essential questions when acting for a buyer is that are all the flats on the same estate held on the same basis?
If you would like to discuss something related to a property valuation please contact Clive Scrivener MRICS direct via email at Clive@scrivenertibbatts.co.uk or call 020 8971 2983.
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