What Is Collective Enfranchisement?

What Is Collective Enfranchisement

Collective enfranchisement is a powerful legal right that allows leaseholders in England and Wales to jointly purchase the freehold of their building, giving them shared control over its management, maintenance and future. This process was initially introduced through the Leasehold Reform, Housing and Urban Development Act 1993 and significantly strengthened by the Leasehold and Freehold Reform Act 2024. The goal is simple but transformative: to allow those who live in and care about a building to also own it, manage it, and protect its value.

This is particularly relevant for flat owners, who may be subject to poorly managed service charges, rising ground rents, and absent landlords. By acquiring the freehold together, leaseholders gain autonomy over building decisions, the power to extend leases for up to 990 years at no ground rent, and the ability to set fair service charges. In many cases, this also increases the market value and mortgage eligibility of their individual flats. More importantly, it can create a genuine sense of community ownership, where those living in the building can make decisions in their best interest rather than being dependent on an external and often unresponsive freeholder.

If you are considering collective enfranchisement, get in touch with a specialist collective enfranchisement solicitor. Starck Uberoi Solicitors can help.

To qualify, a building must contain at least two flats, and at least 50% of them must be owned by qualifying leaseholders—those holding long leases (over 21 years originally). Importantly, as of March 2025, up to 50% of the building can now be in commercial use, making mixed-use properties more likely to qualify. However, certain properties, such as those with resident landlords in small conversions or those owned by charitable housing trusts, may still be excluded. For buildings that do meet the qualifying criteria, the law empowers leaseholders to take control over one of their most valuable financial assets.

At Starck Uberoi Solicitors, we are accredited ALEP members and specialist collective enfranchisement solicitors.

Once eligibility is confirmed, leaseholders usually form a limited company to act as the “nominee purchaser.” A solicitor is instructed to serve a formal Section 13 Notice on the freeholder, and a qualified surveyor is brought in to estimate the premium (i.e., the purchase price for the freehold). This notice is legally binding and triggers a formal timeline for the freeholder to respond. Thanks to 2025 reforms, marriage value has now been abolished from valuation calculations—making the process clearer, cheaper, and fairer for leaseholders with shorter leases. This change alone has made enfranchisement more accessible, particularly for those in older properties with leases approaching the critical 80-year mark.

If a price or terms can’t be agreed, the matter can be referred to the First-tier Tribunal. Once the purchase is complete, leaseholders take full control of the building. They can manage it themselves or appoint a managing agent, extend their leases to 990 years at a peppercorn rent, and set transparent and fair service charges. This ownership model allows for decisions to be made collectively and democratically, ensuring that money spent on maintenance and improvements is reinvested into the building, not paid out to a landlord who may not have any interest in the building’s long-term condition.

In 2025, leaseholders in a Victorian conversion in Bath successfully used collective enfranchisement to purchase the freehold. They now manage the building through a residents’ company, have completed a major roof repair, and reduced service charges by 20%. Residents report higher satisfaction, improved trust in how their money is used, and increased property values due to longer leases and full freehold ownership.

Key Advantages of Collective Enfranchisement

  • Lease extension: Secure a lease of up to 990 years.
  • Zero ground rent: Eliminate future ground rent liabilities.
  • Management control: Self-manage or appoint your own agent.
  • Service charge transparency: Set fair and reasonable charges.
  • Increased property value: Boost mortgage ability and market appeal.

You may want to read: Share of Freehold Lease Extension Explained

How can Starck Uberoi help you?

At Starck Uberoi Solicitors, we are specialist leasehold solicitors and accredited members of ALEP. We offer a full range of leasehold advice services including leasehold conveyancing, lease extensions (you may want to try our lease extension calculator), collective enfranchisement and leasehold enfranchisement.

Leasehold Law is undergoing major reform, you may want to keep up to date with developments via this page: Leasehold Reform Latest News.

Our Offices

Although we offer advice via telephone and online tools, we are always happy to meet our clients in person at one of our offices located across London and Canterbury.

Our solicitors in the Brentford area also serve Chiswick and Hounslow. Our solicitors in the Ealing area cover Acton and Northfields, our solicitors in the Belgravia area cover Victoria and Westminster, our solicitors in the Pinner area cover Harrow, Northwood and Ruislip, our solicitors in the Richmond area cover Twickenham and Kew, and our solicitors in the Canterbury area cover east Kent.

Our partner, Raminder Uberoi, can also offer a Notary Public Service at any of our London offices.

 

 

ALEP

We are proud to be Members of the Association of Leasehold Enfranchisement Practitioners (ALEP). ALEP Members are vetted to ensure that they have the requisite expertise in leasehold enfranchisement. ALEP acts as a badge of assurance and confirms that we can handle potentially complex collective enfranchisement transactions.

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Raminder Singh Uberoi is a solicitor admitted in England and Wales, Managing Director of Starck Uberoi Solicitors and Head of Property at Starck Uberoi Solicitors. With over 20 years’ experience advising on residential and commercial property matters and as part of a firm that is a...

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