What is Right to Manage?
The Commonhold and Leasehold Reform Act (2002) introduced the Right to Manage Act (RTM), which allows leaseholders in an apartment building to form a RTM company to take over responsibility for carrying out or arranging the management of their block.
RTM allows leaseholders to choose the manager of their block of flats, without the need to collectively purchase the freehold. It also allows leaseholders to replace managing agents they are unhappy with.
RTM does not apply to leasehold houses, freehold properties or leaseholders with “shared ownership” unless certain conditions are met. The following factors need to be met for Right to Manage to be applicable:
- A qualifying tenant (also known as a qualifying leaseholder) for the purposes of RTM is someone who holds a lease that was originally granted for more than 21 years. There can only be one qualifying tenant per flat.
- Premises that consist of a self-contained building.
- The building contains two or more flats held by qualifying tenants.
- The total number of flats held by qualifying tenants is not less than two-thirds of the total number of flats in the premises.
- The RTM Company must include at least 50% of the qualifying tenants of flats contained in the premises that the RTM applies to.
We can manage it for you
If you would like to find out more about Right to Manage or how we can help you set up an RTM company please contact us on 01425 888910. We will arrange to give a no-obligation presentation about our management services and your Right to Manage at a time and venue of your choice.
If selected as your management company, we can organise the transition from your present provider ensuring the handover is as smooth as possible. Just leave everything to us.