Leaseholders in the UK who are dissatisfied with their current property management may seek to exercise their Right To Manage (RTM) in order to take control of the management of their building themselves. This process can be complex and daunting for many leaseholders, but with the right guidance and information, it can be a smooth and successful endeavor.

What is the Right To Manage Process?

The Right To Manage process is a legal right granted to leaseholders under the Commonhold and Leasehold Reform Act 2002. It allows leaseholders of a building to take over the management of that building from the landlord or managing agent, without having to prove any fault on the part of the current management.
To exercise the Right To Manage, leaseholders must meet certain criteria, including:

The building must be a self-contained block of flats
At least two-thirds of the leaseholders in the building must agree to participate
At least half of the leaseholders in the building must have leases longer than 21 years

Steps in the Right To Manage Process

Serve the Initial Notice: Leaseholders must serve an Initial Notice on the landlord or managing agent, stating their intention to take over the management of the building.
Form a Right To Manage Company: Leaseholders then need to form a Right To Manage company, which will be responsible for managing the building once the RTM is complete.
Serve the Participation Notice: At least half of the leaseholders in the building must then serve a Participation Notice, expressing their desire to participate in the RTM.
Obtain Confirmation: Once the Participation Notice has been served, the landlord or managing agent has a period of time to respond. If they do not contest the RTM, the right is deemed to have been acquired.
Transfer of Management: The management of the building is then transferred to the Right To Manage company, and the leaseholders are free to appoint their own managing agents.

Benefits of the Right To Manage Process

Control: Leaseholders have greater control over the management of their building, including decisions on maintenance, repairs, and service charges.
Cost Savings: By self-managing the building, leaseholders can potentially save money on management fees.
Improved Communication: Direct communication between leaseholders and the managing agents can lead to a more transparent and efficient management process.

Block Management in the Right To Manage Process

Block management is a crucial aspect of the Right To Manage process, as the efficient management of the building is key to its success. A professional block management company can provide expertise and support to the Right To Manage company in fulfilling its responsibilities.
Some of the services that a block management company can offer include:

Financial Management: Handling service charge collection, budgeting, and financial reporting.
Maintenance and Repairs: Arranging for maintenance and repairs to the building, ensuring it is kept in good condition.
Compliance: Ensuring that the building meets all legal and regulatory requirements, such as health and safety regulations.

Conclusion

The Right To Manage Process can be a valuable tool for leaseholders who are looking to take control of the management of their building. By understanding the steps involved and seeking the support of a professional block management company, leaseholders can navigate the process successfully and enjoy the benefits of self-management. With the right guidance and information, the Right To Manage process can empower leaseholders to create a more efficient and transparent management structure for their building.

Understanding the Right To Manage Process for Leaseholders