Lease extension estimate

[LJQ]

Hi,

I did post a note a couple of weeks ago and would really appreciate some help and advice as I am struggling a little with the whole lease extension business.

Here are my details:
I've a flat in London (bought in 2000), the lease has 75 years to run from March this year. It's worth about 220,000 and the rent is 50 per year.

Could someone please help and give me some advice to verify a reasonable offer to the landlord.

Best

LJQ

[sgclacy]

Have a look at the tread "approx valuation model for a lease ext at the time of writhing its about six lines down from yours

[LJQ]

Thanks very much for the quick lease extension estimate tool. What advice do you have for the actual approach to the landlord? My landlord is a small company (I think) and there is no phone number listed anywhere. I do have an address though, should I just write? What details should I include in this opening communication?

Any advice appreciated

Best regards

LJQ

[sgclacy]

Thanks very much for the quick lease extension estimate tool. What advice do you have for the actual approach to the landlord? My landlord is a small company (I think) and there is no phone number listed anywhere. I do have an address though, should I just write? What details should I include in this opening communication?

Any advice appreciated

Best regards

LJQ

I think in the first instance I would write asking them for their proposed terms would be to extend the lease to say 125 years

It is possible they may ask for terms less than what the estimate you have calculated which I assume to be around £8,800

If they come back at figures up to around £10,000 try and push it down but best to accept if it saves on legal and surveyor’s costs

If they come back with very high figures you would then need to set out a more formal calculation and this may help steer negotiations into a more sensible territory.

I can help prepare a more formal calculation in return for a donation of £10 to “Children in Need” send me the following details by way of a pm

1) exact start date of the lease and the start date of the term
2) Ground rent and any rent rises
3) Value of the flat if it had a long lease and a peppercorn rent