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Most popular advice guides

Service charges and other issues

Service charges, administration charges, ground rent, recognised tenants associations and forfeiture. For a brief summary...

Leasehold Extension – Getting Started

The right to extend the lease of a flat under the Leasehold Reform Housing and...

Living in Leasehold Flats – A guide to how it works

The nature and typical rights and obligations that relate to the ownership of a leasehold...

Section 20 Consultation for Private Landlords, Resident Management Companies and their Agents

Consultation for qualifying works to a building and qualifying long-term agreements. Purpose of this booklet...

Leasehold Houses – Buying the freehold – Qualification and procedure

Qualification requirements for a tenant to buy the freehold of their leasehold house and outline...

Right to Manage

The right for leaseholders of a building containing flats to take over the management of...

In my building, not all the flats want to participate in the freehold purchase. Can we appoint a third party to cover the shortfall in the finances?

Yes, there is potential investment value for third parties who are willing to fund the cost of enfranchising non-participating flats. These are often called “White Knights”. The non-participant element of the premium can often be considerable, but these individuals and companies would offer “white knight” funding in exchange for shares in the freehold company. Any additional funding should be investigated before serving the claim notice and any written contracts for third party funding should be analysed carefully. We would advise that you seek legal advice before entering into any agreement.

For leaseholders who are constrained by a budget, this option can prove invaluable and enable a collective claim to proceed where it might otherwise fail for lack of funds.

Buying the freehold can be a difficult process. We recommend you get professional help from a solicitor and surveyor with experience in this area.

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