Freehold Purchasing and Collective Enfranchisement

Freehold Purchase is a scheme where a group of lessees buy the freehold of the building they live in, and manage it themselves or appoint their own Managing Agent to manage the property.

The scheme is sometimes known as collective enfranchisement.

It can be a costly process, an initial valuation of the property by a qualified valuer or surveyor is strongly recommended in order to provide leaseholders with a final purchase figure prior to commencing any action. The landlords legal and valuation fees are also the leaseholders' responsibility to pay.

It is strongly advised that leaseholders who are thinking of enfranchisement, should take all possible steps to ensure their chosen advisor has full knowledge and experience of the legislation, practices and procedures

How do you qualify?

• The building must be self-contained, and have at least two flats in it.
• At least two thirds of the flats in the building must be sold.
• At least half the number of flats in the building must take part in the purchase.
• Where there are only two flats in the building, both lessees must participate.
• No more than 25% of the building can be for non-residential use (for example, shops).
• If a lessee owns more than two flats in a building, they can't participate.