If you own a leasehold property, letting the term of your lease drop too low can really damage its value. There are two ways in which we can deal with lease extensions;

1. A contractual lease extension

2. A statutory lease extension

A contractual lease extension is where the terms are agreed between landlord and tenant. This is a much cheaper and simpler procedure, since it merely involves the drafting of a simple deed and registration at the land registry.

The alternative, in cases where a contractual lease extension has not been agreed with the landlord, is for the current leaseholder to make an application to the Leasehold Valuation Tribunal for a Statutory Lease extension. To qualify on this basis, the tenant needs to have owned the property for at least 2 years. The Tribunal dealing with such an application will set the premium for the lease extension and the lease will be extended for a period of 90 years in addition to the remaining lease term at the point of the application.

Statutory lease extensions can be extremely lengthy and expensive processes. We charge a fixed fee for the application, but in addition, you would have to pay;

• Application fees to the tribunal
• Legal representation fee for any hearing
• Survey fees both for yourself and the landlord
• Legal fees for the landlord