LRHUDA 1993: Enfranchisement and lease extension in relation to flats

by Practical Law Property and Practical Law Property Litigation

A practice note providing an overview of the key statutory rights available to tenants of flats with long leases under the Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993). This practice note outlines the two principal rights: collective enfranchisement, which allows qualifying tenants to act together to acquire their building's freehold, and the individual right to a lease extension. It explores the essential conditions that must be satisfied for each claim and discusses the procedural framework, highlighting the strict statutory timetables initiated by serving a notice and the potential consequences of non-compliance. It also touches upon the valuation principles for determining the purchase price or premium, the recent impact of the Leasehold and Freehold Reform Act 2024 (LFRA 2024) and provides context by briefly describing other relevant tenant rights, such as the right of first refusal under the Landlord and Tenant Act 1987 (LTA 1987) and the Right to Manage (RTM).