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Applications to vary Leases

Can the terms of a lease be changed?

In short yes! Both landlords and leaseholders can vary the terms of a lease by agreement or by making an application to the First Tier Tribunal.

Section 35 of the Landlord and Tenant Act 1987 (“the Act”) provides that where the lease fails to make satisfactory provision with respect of one of the following matters:

  • (a)  the repair or maintenance of—
    • (i) the flat in question, or
    • (ii) the building containing the flat, or
    • (iii) any land or building which is let to the tenant under the lease or in respect of which rights are conferred on him under it;
  • (b)  the insurance of the building containing the flat or of any such land or building as is mentioned in paragraph (a)(iii);
  • (c)  the repair or maintenance of any installations (whether they are in the same building as the flat or not) which are reasonably necessary to ensure that occupiers of the flat enjoy a reasonable standard of accommodation;
  • (d)  the provision or maintenance of any services which are reasonably necessary to ensure that occupiers of the flat enjoy a reasonable standard of accommodation (whether they are services connected with any such installations or not, and whether they are services provided for the benefit of those occupiers or services provided for the benefit of the occupiers of a number of flats including that flat);
  • (e)  the recovery by one party to the lease from another party to it of expenditure incurred or to be incurred by him, or on his behalf, for the benefit of that other party or of a number of persons who include that other party;
  • (f)  the computation of a service charge payable under the lease.
  • (g)  such other matters as may be prescribed by regulations made by the Secretary of State.

 

The Act also provides under section 37 that an application can be made by the landlord or any of the tenants under the leases, to vary two or more leases where the object to be achieved cannot be satisfactorily achieved unless all the leases are varied to the same effect. This application can only be made if:

  • (a)  in a case where the application is in respect of less than nine leases, all, or all but one, of the parties concerned consent to it; or
  • (b)  in a case where the application is in respect of more than eight leases, it is not opposed for any reason by more than 10% of the total number of the parties concerned and at least 75% of that number consent to it.

Whether you are a landlord or leaseholder we can assist you should you wish to make an application to the First Tier Tribunal to vary leases.

If you would like to know more please contact our specialist team who can take you through the possible benefits and alternative options available to you.

 

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