View Full Version : Can Hsg. Association's lessee force leasehold extension?
mikehhh
29-04-2008, 11:20 AM
I own a flat with 65 years lease remaining. The landlord is a housing association. I see that I do not have the right to extend the lease, if the freeholder is a charity, and the flat is part of the charitable purpose of the freeholder.
How is this actually defined? As far as I was concerned when I bought the flat, it was a normal commercial transaction, and there was no charity involved..?
jeffrey
29-04-2008, 11:31 AM
1. A Housing Association is a sub-species of what are usually called "Registered Social Landlord". Some have charitable status; some don't.
2. Right of T to extend lease (under Chapter II of 1993 Act) brings-forward s.5 and s.7 from Chapter I. T is not a QT if, by s.5(2)(b), "the immediate landlord is a charitable housing trust* and the flat forms part of the housing accommodation provided by it in the pursuit of its charitable purposes..."
3. * means a housing trust (within Housing Act 1985) which is also a charity (within Charities Act 1993); NOT same as a Housing Association.
4. Please therefore clarify your L's true status. Has it changed since your original purchase?
mikehhh
29-04-2008, 11:43 AM
Thanks. From the website, it is "incorporated as an Industrial and Provident Society (registered number xxxxx). It has charitable status but, because it is an Industrial and Provident Society, it is exempt from registration with the Charity Commission – it is a ‘”charity” but not a “registered charity”. It is a Registered Social Landlord (Housing Corporation registered number L xxxx)."
jeffrey
29-04-2008, 11:55 AM
Section 96(1) of Charities Act 1993 defines "charity" to include not only those registered under it but also "any institution...which is established for charitable purposes.." so this embraces your L too.
mikehhh
29-04-2008, 13:43 PM
thanks, it becomes clearer (although not the answer I was hoping for...). There is a second condition --- "and the flat forms part of the housing accommodation provided by it in the pursuit of its charitable purposes..."
What sort of accomodation would this be? I bought my flat for a market price, it is not (for example) some sort of subsidised housing. Is there a definition of 'housing accomodation... in pursuit of charitable purposes"?
jeffrey
29-04-2008, 14:17 PM
thanks, it becomes clearer (although not the answer I was hoping for...). There is a second condition --- "and the flat forms part of the housing accommodation provided by it in the pursuit of its charitable purposes..."
What sort of accomodation would this be? I bought my flat for a market price, it is not (for example) some sort of subsidised housing. Is there a definition of 'housing accomodation... in pursuit of charitable purposes"?
Not in s.5, no. I imagine that the wording relates to things like tied housing for a church Minister, almshouses for the poor, etc.
On the other hand, I cannot see how L could be using your flat- or the block itself- "in pursuit of its charitable purposes." If it's not, then your L- even though a charity- is governed by exactly the same rules that apply to all other landlords of flats. The onus of proof would be on L to show that the exemption applies (not on you to show that it doesn't).
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