Right to Manage
GEM can off support and guidance to Leaseholders wishing to exercise their right to manage their block.
The Commonhold and Leasehold Reform Act 2002 provides a right for leaseholders to acquire the landlord’s management functions by way of a transfer to a Right to Manage (RTM) company set up by them. this was introduced as a means to give leaseholders the ability to take control of the management of their block as they generally hold the majority of the value in the property.
The Right to Manage is available to leaseholders of flats only.
The Right to Manage brings with it certain responsibilities as it is the leaseholders that become wholly responsible for all decision-making in terms of budgets and reserve funds, standards of management and provision of services, repairs and major works, and with the overall function of the building. They are also responsible for enforcing the covenants within the lease. GEM are experienced in this and can be instructed as agents to support you all the way.
The right is exercised by serving a formal notice on the landlord. It is not necessary to gain their consent and their is no requirement to prove poor management by the landlord.
As there is a substantial amount of work to be done before the notice can be served, GEM can be instructed as agents to guide you through the process.
There are certain qualifying criteria that must be met:
- At least 50% of the flat owners in a certain block must want to go through the process
- At least 2/3 of the flat owners within that certain block must have a long lease (over 21 years at the time of issue)
- No more than 25% of the block may be used for non-residential use (excludes car parks and common areas of the flats)
If you would like further information, please contact us on 01462 475666 or email us on email@example.com