Legislation – Leasehold and Freehold Reform Act 2024

with Part 1 of the LRA 1967 in their application to the transfer of freehold houses under the LRA 1967 (and here the reference to Part 1 of the LRA 1967 is a reference to that legislation as it applies to the transfer of freehold houses);

(b)

with Part 1 of the LRA 1967 in their application to the grant of extended leases of houses under the LRA 1967 (and here the reference to Part 1 of the LRA 1967 is a reference to that legislation as it applies to the grant of extended leases);

(c)

with Chapter 1 of Part 1 of the LRHUDA 1993 in their application to collective enfranchisements of buildings under the LRHUDA 1993;

(d)

with Chapter 2 of Part 1 of the LRHUDA 1993 in their application to the grant of new leases of flats under the LRHUDA 1993.

(2)

But in the case of a deemed single lease—

(a)

there is not to be a single term date for the deemed single lease (as would otherwise be the case in accordance with section 3(6) of the LRA 1967 or section 7(6) of the LRHUDA 1993);

(b)

instead, each constituent lease has its own term date (and sub-paragraph (1) applies for the purpose of giving the meaning of “term date” here).

Meaning of specific expressions

2 (1)

In Schedules 4 and 5 and this Schedule—

“collective enfranchisement” has the meaning given in paragraph 1(3) of Schedule 4;

“collective enfranchisement of a building under the LRHUDA 1993” has the meaning given in section 37(8);

“constituent lease” means any lease which is treated as forming part of a deemed single lease;

“deemed single lease” means a lease to which—

(a)

the LRA 1967 applies by virtue of section 3(6) of that Act, or

(b)

the LRHUDA 1993 applies by virtue of section 7(6) of that Act,

(separate tenancies with the same landlord and the same tenant treated as single tenancy);

“freehold enfranchisement” has the meaning given in paragraph 1(3) of Schedule 4;

“grant of a new lease of a flat under the LRHUDA 1993” has the meaning given in section 37(8);

“grant of an extended lease of a house under the LRA 1967” has the meaning given in section 37(8);

“lease extension” has the meaning given in paragraph 1(3) of Schedule 4;

“market value of the notional lease” has the meaning given in paragraph 3(6) of Schedule 4;

“market value of the relevant freehold” has the meaning given in paragraph 2(3) of Schedule 4;

“notional lease” means the notional lease referred to in paragraph 3(2) of Schedule 4;

“reversion value” has the meaning given in paragraph 27 (in relation to a freehold enfranchisement) or paragraph 28 (in relation to a lease extension);

“standard valuation method” means the valuation method set out in Part 5 of Schedule 4;

“statutory transfer or grant” means a statutory transfer or a statutory grant;

“term date” is to be read subject to paragraph 1(2);

“term value” has the meaning given in paragraph 25 of Schedule 4;

“transfer”, in relation to a freehold, includes a conveyance;

“transfer of a freehold house under the LRA 1967” has the meaning given in section 37(8).

(2)

Paragraph 3 sets out the meaning of other expressions used in Schedule 4 and 5 and this Schedule.

Expressions with different meanings in relation to different statutory grants or leases

3

In Schedules 4 and 5 and this Schedule an expression set out in an entry in the first column of the following table has the meaning given in the corresponding entry in—

(a)

the second column, as that expression is used in relation to the transfer of freeholds of houses under the LRA 1967;

(b)

the third column, as that expression is used in relation to the grant of extended leases of houses under the LRA 1967;

(c)

the fourth column, as that expression is used in relation to collective enfranchisements of buildings under the LRHUDA 1993;

(d)

the fifth column, as that expression is used in relation to the grant of new leases of flats under the LRHUDA 1993.

Expression	Meaning in relation to transfers of freeholds of houses	Meaning in relation to grants of extended leases of houses	Meaning in relation to collective enfranchisement of a building	Meaning in relation to grants of new leases of flats
“buyer”	The tenant acquiring the freehold	The tenant acquiring the extended lease	The nominee purchaser	The tenant acquiring the new lease
“current lease”	The tenancy by virtue of which the tenant is entitled to acquire the freehold	The tenancy by virtue of which the tenant is entitled to acquire the extended lease	A lease by virtue of which a person is, in relation to the acquisition of the freehold— (a) a qualifying tenant, or (b) not a qualifying tenant, but only because of section 5(5) and (6) of the LRHUDA 1993 (a person who is the tenant of three or more flats in the building).	A lease by virtue of which a person is a qualifying tenant in relation to the acquisition of the new lease
“currently leased premises”	The house and premises leased by the current lease	The house and premises leased by the current lease	The flat leased by the current lease, together with any appurtenant property related to that flat and demised by that lease (see section 1(3) of the LRHUDA 1993)	The flat leased by the current lease
“newly owned premises”	The house and premises of which the freehold is being transferred	The house and premises over which the extended lease is being granted	The relevant premises (see section 1(2) of the LRHUDA 1993) and any other property of which the freehold is being transferred	The flat over which the new lease is being granted
“qualifying tenant”	The tenant acquiring the freehold	The tenant acquiring the extended lease	A qualifying tenant (see section 5 of the LRHUDA 1993)	The qualifying tenant (see section 39(3) of the LRHUDA 1993)
“relevant freehold”	The freehold which is being acquired	Not applicable	The freehold which is being acquired	Not applicable
“statutory grant”	Not applicable	The grant of the extended lease	Not applicable	The grant of the new lease
“statutory lease”	Not applicable	The extended lease of the house and premises being granted	Not applicable	The new lease of the flat being granted
“statutory transfer”	The transfer of the freehold	Not applicable	The transfer of the freehold	Not applicable
“valuation date”	The relevant time (see section 37(1)(d) of the LRA 1967)	The relevant time (see section 37(1)(d) of the LRA 1967)	The relevant date (see section 1(8) of the LRHUDA 1993)	The relevant date (see section 39(8) of the LRHUDA 1993)