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Right to Manage

 

The right to manage (“RTM”) was introduced in 2002 to give leaseholders the ability to take over the landlord’s management functions in respect of their building, without having to buy the freehold. It is a “no-fault” right, which leaseholders can exercise without the need to prove a complaint against their landlord or managing agent.

All of our approved Property Managers are experts in the Right to Manage (RTM) process.

 

The Right to Manage lets some leasehold property owners take over management of the building - even without the agreement of the landlord.

Management companies are responsible for things like:
 

  • Collecting and managing the service charge

  • Upkeep of communal areas (such as communal hallways and stairs)

  • Upkeep of the structure of the building (such as the roof)

  • Dealing with complaints about the building from other leaseholders

To qualify for Right to Manage:
 

  • The building must be made up of flats (houses do not qualify)

  • At least two-thirds of the flats in the building must be leasehold - with leases that were for more than 21 years when they were granted

  • At least 75% of the building must be residential - for example, if there’s a shop in the building, it can’t take up more than 25% of the total floor area

  • You must live somewhere else if there are less than 4 flats in the block - unless the block was purpose-built as flats, rather than converted from another type of building

  • Any number of owners can set up an RTM company - but at least half of the flats in the building must be members of the company before it can actually take over management
     

For more information on Right to Manage within the United Kingdom, please visit www.gov.uk/right-to-manage-a-guide-for-landlords

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