Don’t own a share of the freehold? No problem! You can still take control of your block of apartments and your service charges.
You may be considering exercising your Right to Manage for any of the following reasons;-
- The landlord is absent and therefore not taking responsibility for their duties.
- The landlord is not following regulations with regards managing a property.
- Poor maintenance and upkeep of the common areas.
- The maintenance costs are not competitive with current market rates.
- The Service Charges appear to be too high and there is little or no transparency regarding expenditure.
- The managing agent the landlord appointed is providing a poor service and the landlord will not change agents.
The root cause of the problem can be summarised into two categories; poor block management and excessive costs. Increasing numbers of leaseholders, who have raised concerns with their landlord/the managing agent but have received little or no co-operatation, are turning to Right to Manage.
Right to Manage (RTM) process.
The RTM is a legal process for leaseholders to exercise in order to force the landlord to hand over responsibility and control of managing the block to the RTM company.
Advantages of taking control using Right to Manage are;
- A RTM company is created to take over managing the block. All leaseholders have the right to become members of the RTM company and each member will have voting powers.
- RTM process can be exercised without proving any mismanagement by the managing agent or the landlord.
- The leaseholders have control over the day to day running of the building.
- Only 50% of leaseholders need to agree to carry out the RTM.
We have summarised the RTM process here.