When it comes to long leasehold premises in Mildenhall, you are in fact renting it for a certain period of time. These days flat leases are usually granted for 99 years or 125. Even though this may appear like a lengthy period of time, you should consider a lease extension sooner rather than later. Accepted thinking is that the shorter the number of years is the cost of extending the lease increases markedly notably once there are less than 80 years remaining. Anyone in Mildenhall with a lease approaching 81 years left should seriously think of extending it sooner rather than later. Once a lease has below 80 years outstanding, under the current legislation the landlord is entitled to calculate and demand a greater amount, based on a technical computation, known as “marriage value” which is payable.
It is conventional wisdom that a residential leasehold with in excess of one hundred years remaining is worth approximately the equivalent as a freehold. Where an additional 90 years added to any lease with more than 30 years remaining, the property will be equivalent in value to a freehold for many years in the future.
| Lender | Requirement |
|---|---|
| Barclays plc | |
| Halifax | |
| Leeds Building Society | |
| Skipton Building Society | |
| The Mortgage Works |
Lease extensions in Mildenhall can be a difficult process. We recommend you get professional help from a lawyer and surveyor with experience in lease extensions.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Mildenhall lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Oliver owned a studio flat in Mildenhall being sold with a lease of fraction over 59 years remaining. Oliver on an informal basis approached his freeholder a well known Manchester-based freehold company and enquired on a premium to extend the lease. The landlord was keen to grant an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £125 yearly. No ground rent would be due on a lease extension were Oliver to invoke his statutory right. Oliver procured expert advice and secured an acceptable resolution informally and readily saleable.
In 2011 we were called by Mr and Mrs. N Robinson who, having took over the lease of a recently refurbished flat in Mildenhall in September 2000. We are asked if we could estimate the price would likely be to prolong the lease by a further 90 years. Similar residencies in Mildenhall with 100 year plus lease were in the region of £275,000. The mid-range amount of ground rent was £55 invoiced annually. The lease ran out in 2102. Taking into account 76 years outstanding we calculated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of legals.
Last Spring we were e-mailed by Dr B Ramírez , who completed a studio flat in Mildenhall in August 2000. We are asked if we could shed any light on how much (roughly) compensation to the landlord would be for a 90 year extension to my lease. Similar homes in Mildenhall with an extended lease were worth £176,200. The mid-range ground rent payable was £65 invoiced monthly. The lease finished in 2082. Taking into account 56 years left we calculated the compensation to the freeholder to extend the lease to be between £29,500 and £34,000 not including fees.