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Collective enfranchisement

Information on collective enfranchisement advice for leaseholders of flats.

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> Leaseholder's rights
Under the Leasehold Reform, Housing and Urban Development Act 1993, as amended by the Commonhold and Leasehold Reform Act 2002, a group of leaseholders are entitled to apply to the freeholder of their building to purchase the freehold provided they fulfil the following criteria:
  • The building must have a minimum of two flats and if the building was originally  a single house (and since converted) and there are less than five flats, the  freeholder, provided he carried out the original conversion, must not live in the building if the leaseholders wish to qualify.
  • Leaseholders who wish to participate must qualify by holding leases that were originally granted of more than 21 years. There is now no minimum ownership  period and no residency requirement.
  • The number of leaseholders who wish to participate must represent at least  50% of the number of flats in the building.
  • There must not be more than 25% of the internal floor area of the building in non-residential use, for instance a shop or office.
  • Resident's parking spaces are not included in calculating the floor areas.
This is not a fully comprehensive list of requirements but should cover most eventualities. If the leaseholders do not fulfil the above requirements they may still wish to apply to the freeholder but only outside the terms of the 1993 Act.
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