Checking your entitlement as lessees to join together, form a company and compel your freeholder to sell the freehold of your block to you.
1. Assessing Entitlement
We will undertake an initial review and establish your eligibility to purchase the freehold on a compulsory basis. Our fee for this initial advice stage is £250 + vat.
2. Set up fee
These projects entail a significant amount of administration because of the number clients involved. To address the associated cost we charge a fixed initial set up fee of £75 + vat per flat.
It’s worth producing a participation agreement which each flat owner will sign, this will set out the rights and obligations of each party and should ensure that you both understand what is required of you. My fee for the agreement is £360 + vat. You may decide that – if your flats are of materially different sizes and different values - that the costs of the process ought to be divided between you in ratios which reflect this. The participation agreement would record each person’s liability and commitment to the project, amongst other things.
4. Company Formation
Once all lessees are signed up and on board we would form a company owned by the participating lessees – this would be the nominee vehicle which would purchase and hold the freehold. Our fee for the formation of the company is £950 + vat.
5. Notice of Claim
Once the company is formed the notice of claim can be served. My fee for the preparation and service of the notice is £465 + vat.
Once served the claim notice should be registered against the freehold title to protect the claim. My fee for this is £180 + vat plus a land registry fee of £40.
6. Counter Notice
The freeholder will then serve a counter notice setting out its proposed terms for the purchase. My fee for receipting the notice and advising on the same is £195 + vat.
7. Monitoring Dates and Supplying Information during negotiation stage
There would then be a period of negotiation between surveyors which would hopefully result in an agreement. My fees for this stage (monitoring dates and responding to requests for information) are usually £300 + vat.
8. Tribunal Application
If an application to the tribunal is required for a determination of the premium we would have to review fees for that stage of the process at the time. For indicative purposes however I can say that the costs would be between £1000 + vat and £3000 + vat. Most cases do not involve a tribunal hearing so these costs are usually avoided.
Finally once terms have been agreed or determined by the tribunal I will act for you in the transfer of the freehold to your company and the registration of that transfer at the land registry. My fees for that are £1200 + vat plus a land registry fee of £40.
What is included in the price:
- Initial telephone conversation
- Regular updates
- Answering any questions as they arise
What is excluded from the price:
- Meeting at your local office with a lawyer (can be arranged at additional cost)
- Our fees for tribunal applications cover only the making of those applications and preparing the documents for them, representation at the hearing is not included and options will be discussed as and when the need arises
- Your valuation costs which are payable to your professional valuer are not included
- Your freeholder’s professional costs are not included within this quotation
- Legal advice outside of the service requested
Land Registry fees as stated above.
How long will it take?
From service of the notice to completion of the purchase on average takes about 6- 9 months.
When will I pay?
Attwells Solicitors will ask you for money on account in advance of the reviewing your documents and drafting the advice letter so that work can get underway on your matter immediately.
How to instruct Attwells Solicitors?
Instructing us is simple. You can either click on the instruct button below to register your interest or you can call your local office. We have offices in Ipswich, Colchester and London. When instructing us please inform us of the office you would like to use.