Issue - items at meetings - Park Royal – leasehold enfranchisement

Contact Officer: Simon Pickles      Tel: 01273 292083

(1)               That the completion of sale of the freehold and the change of freeholder and management of the two Park Royal buildings be noted.

79.1    The Committee considered a report of the Executive Director of Environment, Development and Housing which informed Members of the legal enfranchisement process which leaseholders had invoked.  The report explained the council’s new role of ‘tenant’ resulting from enfranchisement.  From Thursday 20 March 2014 the Council ceased to be the freehold owner of these two blocks of flats.  24 Tenanted flats were leased back to the Council.  The report was presented by the Leasehold Manager. 

79.2    The Chair reported that he had received a supportive letter from the Residents’ Association.

79.3    Councillor Farrow thanked officers for the report and stated that he would like to see it established as a principle that when a legal enfranchisement process led to the loss of the freehold, the Council should maintain the tenanted flats.

79.4    Councillor Peltzer Dunn asked about the length of the leasehold and the ground rent for the new leases.  The Leasehold Manager explained that the lease was for 999 years at a peppercorn rent.  The Council had taken the lease back above the roof and kept all garages.  The car parking spaces were now owned by the new freeholders. 

79.5    RESOLVED - That the completion of sale of the freehold and the change of freeholder and management of the two Park Royal buildings be noted.