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Success for Colman Coyle's Enfranchisement department after 5 year action completes

After almost five years Greenhill, the ongoing enfranchisement action, which Colman Coyle’s specialist enfranchisement department managed finally completed. The team, led by partner Hema Anand successfully acquired the freehold interest of a block of 140 flats in Hampstead and on 20 January 2009 the leaseholders paid in excess of £2,250,000 to attain ownership of the block.

Colman Coyle’s enfranchisement department represented the leaseholders in a very drawn out and complicated action, which was heard before the Leasehold Valuation Tribunal (LVT) and the Land Tribunal (LT). The action took on:

  1. the decision of Sportelli;
  2. assessed the redevelopment potential of the building;
  3. intermediate landlords:
  4. third party findings;
  5. a major mobile phone and network provider; and
  6. tackled the coordination of 100 leaseholders and numerous other represented parties.

After realising that the negotiations would take place over a long period of time Hema, as well as advising on a multitude of issues in connection with the enfranchisement act also advised the leaseholders on a Right to Manage action. Having established the freeholders on going delay tactics to undermine the enfranchisement, this action allowed the leaseholders to take over the running of the building and generally discharge the landlord of this duty. This claim was also disputed and heard before the LVT, LT and eventually the High Court, the latter being successfully handled by Colman Coyle’s Litigation department.

After much negotiation, terms were finally agreed between the landlord and the freeholders with completion scheduled for April 2008. The landlord however was unable to progress with the sale of the freehold interest within prescribed timescale and was subsequently taken to court and compelled to transfer the freehold interest upon the agreed terms. This was settled by consent between the parties and handled by the Litigation department. The Litigation department were also involved with the successful recovery of funds that had been wrongly debited to the service charge account over a period of several years.

Hema and her team are now in the process of extending the leases for the residents of the block.

The case has been widely reported and has become the topic in focus at a number of enfranchisement courses and conferences.

For more information on the above action and for further advice on enfranchisement, lease extenstions or right to manage action please contact Hema Anand.

Click here for further information on our Enfranchisement department