We look at the impact of proposed changes to enfranchisement law
– community-led housing (CLH) groups should respond before 7
January 2019.
What is leasehold enfranchisement?
The Law Commission has published a consultation paper on reforming leasehold
enfranchisement. Enfranchisement is the process by which the owner
of a property on a long lease can apply to extend the lease or buy
the freehold. It applies to both flats and houses.
Enfranchisement offers owners of leasehold properties the chance
to increase the security their home offers, either by extending the
number of years left on their lease or by buying the freehold. If
CLH groups are set up with a leasehold structure and one of their
tenants buys the freehold of their home, it can have adverse
effects on the CLH community.