How long does it take?

It takes around 5 months from the date you reach 50% participation.

What happens to our service charge funds?

Your funds are held in trust on your behalf, all uncommitted funds are transferred over on the day you acquire your right to manage.

Can we expect to save money?

Yes, this is because many leaseholders are facing excessively high charges for items such as insurance, rental agreements and maintenance contracts purchased at uncompetitive prices. By appointing your own managing agent who is accountable to you, the owners, you will control how your service charge money is spent instead of the landlord. At the end of the day, you the leaseholders decide.

Who manages the building?

By completing an RTM the RTM Company will take control of the management functions of the building. Typically the RTM Company will appoint a managing agent to manage the building on their behalf.

What happens to any existing site staff?

If employed by the Landlord their employment will be protected under the Transfer of Undertakings (Protection of Employment) Regulations 2006 (known as TUPE) and they will continue in their roles.

How many Directors do we need?

At least one Director is required. There is no restriction on the number, larger blocks will often comprise of a board of three.

What is the role of a Director?

Simply put the role of the Director is to work with your managing agent and provide instructions.

Can an overseas leaseholder participate?

As long as you are the registered owner of the flat you can participate regardless of where you live.

If the company is wound up what is my liability?

Your liability is limited to £1.

What is the Qualifying Criteria?
  • At least two-thirds of the flats must be let to ‘qualifying tenants’ (a tenant who was originally granted a lease term of more than 21 years).
  • It can be part-commercial but the non-residential part must not exceed 25% of the total floor area, excluding common parts.
  • The building must be self-contained or structurally detached.
  • RTM does not apply where the immediate landlord of any qualifying tenant is a local housing authority.
  • RTM does not apply where the premises fall within the Resident Landlord Exemption. To fulfil this exemption would require the following:
    1. The premises must be other than a purpose-built block (for example a converted house); AND
    2. They must comprise not more than four flats; AND
    3. One of the flats must be occupied by the freeholder or an adult member of their family as their only or principal home for the last twelve months.
We have multiple blocks on our development, can we still apply?

Yes, by forming one RTM Company for each block.

How much does it cost?

We cover the upfront cost and only recharge (works out at about £50 per flat) if your claim is successful.

Will RTM allow us to place the building insurance?

Yes, your RTM Company will take control of the management functions of the building, including the right to insure.

What happens with Landlords consents/permissions to alter, sublet ETC?

These are passed on to the RTM Company. Leaseholder requests for consent to alter, sublet ETC are made to the RTM Company.

What happens with payment of Ground Rent?

Ground rent is still payable to the Landlord as per the terms of your lease.

What is GQPM’s role in this?

We will provide a hands on service to help with your RTM from start to finish. We will check your building qualifies, arrange leaseholder meetings and provide a presentation on the Right to Manage, complete a lease and budget review. We will set up your RTM Company, download Title Registers and complete visits to you building in order to make contact with owners. We will produce the relevant notices, membership forms and co-ordinate signature before serving the notices in line with the statutory requirements.

What are GQPM’s reasons for helping with the RTM?

We get a great deal of satisfaction in helping owner’s exercise their Right to Manage. By helping you through the process we will build a good relationship with owners and having built a positive relationship we would expect to be in pole position when you appoint your managing agent.

You can also find further information on RTM published by the Leasehold Advisory Service:
https://www.lease-advice.org/advice-guide/right-manage/

Find out how our property management service can help you

0208-088-1111

info@gqpm.co.uk

38 Corbidge Court,
Glaisher Street Greenwich Quay,
London SE8 3ES