Changes have been made to the leasehold system in 2025 and flat owners now have more power than ever to take control of their building’s management.
One of those changes is around the right to manage (RTM). If you own a leasehold flat this could directly affect you.
In this article, experienced leasehold property partner Niki Adkins outlines, what’s changed in RTM this year and how it might affect you…
What is the right to manage leasehold flats in 2025?
As part of the governments reform plans for leasehold flats, the laws around right to manage have changed.
It is now possible for more flat owners to forcibly take over management of their building via a process known as ‘right to manage’.
Under the Commonhold and Leasehold Reform Act 2002, leaseholders have the ability to force the transfer of their building’s management functions to a right to manage company set up by them.
You can read our previous article on right to manage here.
What is the new non-residential threshold for right to manage in mixed-use buildings?
Previously, buildings had to have less than 25% ‘non-residential’ floorspace (e.g. a commercial unit had to compromise less than 25% of the whole building.) This has now been increased to 50%.
Therefore, more mixed-use buildings now qualify for the right to manage process. Allowing many leaseholders, who were previously excluded from taking control, to do so.
If you have any questions about the new thresholds, you can speak to a member of our specialist team on 01202 499255.
Do leaseholders still have to pay the freeholder’s legal costs when claiming RTM?
Another benefit for flat owners is that they no longer have to pay the freeholder’s or manager’s legal fees incurred during a right to manage claim.
This will make it considerably more affordable for leaseholders to pursue the right to manage process.
How do you apply for the right to manage a leasehold building?
To start the process, at least 50% of the leaseholders in the building need to serve a notice of claim on the party legally responsible for managing the building – this will usually be the freeholder.
Before this can be done, several legal steps must be followed and there are strict deadlines at every stage.
Our specialist leasehold team can guide you through each step and will manage the key dates, so that nothing is missed. You can contact a member of the team by calling 01202 499255 or by filling out the form.
You can find out more about Right to Manage in our previous article here
Can a landlord challenge a right to manage claim?
In most cases, no. As long as the building qualifies for a RTM claim and all the statutory requirements have been observed, a landlord cannot challenge the claim.
However, the law relating to a RTM claim is highly technical and even a small error can cause a claim to fail. This often leads to wasted time and unnecessary costs. That’s why it’s important to get expert advice early on.
Specialist Leasehold Solicitors
If you are thinking about exercising your right to manage, or want to check if your building qualifies under the new rules, you can contact one of our experts on 01202 499255.
Our specialist team make leasehold law clear, approachable and easy to navigate. We offer all new clients a free initial chat to give you the opportunity to speak who you will be working with.
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