Enfranchisement


Eligibility Criteria

Right 2 Manage gives leaseholders the legal right to take over management responsibility of their property from the freeholder. This right was created by the Commonhold and leasehold reform act 2002
To become a Right 2 Manage company at least 50% of flat owners within a block of flats must participate.

With at least 50%, Right 2 Manage can proceed with Property Management services, regardless of whether the other property owners approve or not. If there are only 2 flats in the block, both leaseholders must participate in setting up Right 2 Manage Property Services. Furthermore, if you own a flat or property, but you don’t live in it, you’re still able to be a part of the process. The same applies for those who have just purchased a property.

Benefits

Once the statutory process is complete, the benefits of Enfranchisement with Right 2 Manage include:

-    Appointing your Managing Agent
-    Having a say in how money is spent on Property Maintenance
-    Having a say in Property Management expenditures.

Procedure

-    A Limited Company is formed to undertake the responsibilities of the Lessor
-    At least 2 Lessees will need to become Directors of the new R2M company
-    Any individual Leaseholders not members need to be invited to join
-    Serve notice on the Freeholder
-    Take over the management of your building and appoint your new Managing Agent

Service Changes  

If you live in a block of flats, and are unhappy with the service and cost, the Commonhold and Leasehold Reform Act 2002 enables you to get rid of your existing property managers without having to prove incompetence.

There are only three relevant conditions:

1.    50% of the flat owners must want to do this
2.    75% of the building must be residential
3.    At least two-thirds of the flat owners must have long leases

Cost

Right 2 Manage makes this process quick and affordable. It is £100 per flat plus VAT for administering the process for the R2M Company. For larger buildings we may quote a lower rate, but there is a minimum fee of £1000 plus VAT.

Time

From the date of incorporation of the RTM Company, the process takes 6-7 months, providing you can get at least half of the flat owners to sign up within two weeks of incorporation. If they have signed up before you decide to incorporate, then it takes just over 20 weeks from incorporation.

However, there is no guarantee that it will be all plain sailing, and some Landlords look for reasons to delay or frustrate the process. Our experience is that generally most Landlords are resigned to the new rights of lessees, and we helped to form one of the first RTM Companies in the country.

Appoint Right 2 Manage as your Property Managing Agents and have your say in how your block is controlled. Right 2 Manage can help you every step of the way.

Contact Us


Right 2 Manage Dorset Ltd
Company Number 7134334
10 Albany Business Park
Cabot Lane, Poole, Dorset, BH17 7 BX
Tel: 01202 640336
Email: enquiries@right2manageltd.co.uk