UK: Leasehold flats purchasing Freehold

I know, speak to a solicitor :slight_smile: . We will, but I was trying to get an idea in advance of how you structure a purchase of the freehold by multiple leaseholders.

In our case, we have a conversion flat. The Freehold will be sold to the individual flat leaseholders (or at least, we’ll be the ones coughing up the money - it may be that a company does the actual purchasing).

This is not a collective enfranchisement situation, in that it’s not a sale forced or even initiated by the leaseholders. The freeholder wants to be rid of his properties and has suggested a price that is perfectly fair.

So, how do you structure the deal? I believe that the collective enfranchisement route has the freehold being purchased by a company, so that’s option (1). Option (2) would be to buy the freeholds individually, but that seems a really bad idea from a collective responsibilities point of view (i.e. you can’t enforce payment of the building’s insurance).

Is there an option (3)? Some sort of partnership in perpetuity between the 3 owners that is passed on with title to the individual properties.

Do you have condominiums over there? Apparently not, but why not? How about co-operative ownerships? I believe the latter also entails a company or at least a partnership, but I’m not sure about the details, but that’s no big deal. The only problem with that is that all the owners (all shareholders, as the case may be) must join in any mortgage of any flat.