The Right to Manage

As a leaseholder, you may have the right to manage the freehold of your home. This means that you are able, should you wish, to make your own decisions about the upkeep of common areas in and around your home. This is a relatively new right, that can be found in Part 2 of the Leasehold and Commonhold Reform Act 2002.

You will not need to prove mismanagement on your landlord’s part or obtain their consent; however, you will need to notify them in writing of your intentions to manage the freehold.

To take on the right to manage, three conditions must be met:

1) 75% (three quarters) of the building must be residential.

2) 66% (two thirds) of the building must be leasehold.

3) 50% (half) of the leaseholders must consent to the change of freehold management.

If you meet these conditions, you then need to decide whether or not you wish to introduce another managing agent or form your own management company with other residents in the building.

You or the managing agent would be responsible for arranging:

• Communal cleaning and grounds maintenance
• Repairs and major works to the structure of the building and all other common parts
• The buildings insurance
• Communal utilities
• Collection of service charges and accounting/administration work
• General day to day management including neighbourhood queries and complying with statutory requirements and lease covenants.

There are various advantages and disadvantages to managing your own freehold but if you would like to receive more information on this, please contact the home ownership team on 01305 216153 or by email or log on to the Legislation.gov.uk website.