Our expert property solicitors will provide you with an experienced and efficient leasehold extension service, helping you to either process an agreed extension or negotiate with the freeholder.
When a lease has approximately 80 remaining years left on the term, the vast majority of solicitors and conveyancers would recommend considering a lease extension. This is primarily because the cost of a lease extension increases significantly once the lease has less than 80 years to run.
Tenants of leasehold property can extend their lease terms at any time, in accordance with the Leasehold Reform Housing & Urban Development Act 1993. The Act sets out the qualifying criteria and the formula for valuing the price payable to the landlord for extending the lease term.
The process of extending your lease commences when you have served a Section 42 Notice on the landlord, in which you offer a premium to the landlord in return for the lease extension. Following this, your landlord must respond to your Section 42 Notice with their ‘counter notice’ by the date specified in the leaseholder’s notice. This counter notice will either be an acceptance or refusal of your claim, and is usually a counter offer that is higher than the sum the landlord might ultimately agree with you. Next, you have up to six months within which to negotiate the premium and terms of the new lease with the landlord. Once an agreement has been reached, you have a further four months to complete the lease extension and pay the premium. The solicitor conducts all conveyancing work to ensure the new lease is legally completed and registered with the Land Registry.
A lease extension can also be obtained outside of the Act by negotiation with the landlord. We have significant experience in this area and a good relationship with a number of chartered surveyors, meaning that we can negotiate and achieve the best possible terms.