Govt leasehold reforms welcomed by Conveyancing Association

The Conveyancing Association (CA) has announced its support for several new government proposals, including an increase to the ‘non-residential limit’ within buildings from 25% to 50%.

This move would allow leaseholders in buildings with up to 50% non-residential floorspace to buy their freehold or claim a right to manage.

The CA was responding to the government consultation entitled Reforming the leasehold and commonhold systems in England & Wales, which ended on 22 February.

According to the trade body for the conveyancing industry, increasing the non-residential limit within buildings to 50% would provide leaseholders in such buildings with greater choice, “especially where they feel exploited by the freeholder or the managing agent”, the CA stated.

The government consultation also had several other recommendations that were welcomed by the CA. These include a move to allow leaseholders to require a landlord take on leases for any non-participating units following a collective enfranchisement, introducing a non-residential limit for individual freehold acquisitions, as well as changes to voting rights in right to manage companies.

“The CA is incredibly supportive of many of the proposals outlined in this consultation as they will allow existing leaseholders to pursue their enfranchisement rights, and provide them with a much fairer system which includes greater levels of choice and control,” commented director of delivery at the CA, Beth Rudolf.

“At present, as we know, many leaseholders are stuck in limbo and it is therefore imperative that such proposals become law in order to help extricate them from their situation and to deliver fairness for the future.

“We have long supported a move away from leasehold to commonhold and we also need this to be fit for purpose in order to ensure commonhold is an available option and we provide the right environment for it to flourish in the future.”

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