Leasehold property described as unfranchisable
I've just seen a flat for sale in Chelsea, it’s a lease hold but there is only 6 and a half years remaining on the lease and it is described as unfranchisable. What does this mean? Does this mean you have to sell the property back to the landlord after 6 years.
The Leasehold Reform Housing and Urban Development Act 1993, and the Commonhold and Leasehold Reform Act 2002 Act, give a leaseholder/tenant, subject to a few qualifying conditions, the right to extend their flat lease by a further 90 years, or with co-lessees purchase the freehold. Perhaps you do not qualify or are in a building that does not qualify (perhaps it has a high percentage of business use?) Go to http://www.lease-advice.org where there is a huge amount of information on the subject. Also talk to a specialist firm of surveyors or better still; solicitors dealing in lease extension.
Back to Finance»