Updating and making alterations to a property can be an exciting project, whether renovating a historic building, expanding a home, or updating kitchens and bathrooms. However, in England and Wales, leasehold property alterations often require more than creativity and instructing contractors; they also require obtaining consent, typically via a Licence to Alter. This licence ensures that alterations comply with building regulations, lease clauses, and planning laws. In this blog post, we'll delve into obtaining a Licence to Alter via London Block Management, highlighting its significance and the steps involved.
Understanding the Licence to Alter
A Licence to Alter is formal permission from the landlord or management company for a leasehold property to make structural or material changes to the premises. This licence is usually required for alterations that affect the building's structure, appearance, or utilities. The licence protects both your investment and the interests of other property owners. It ensures that proposed changes comply with the lease provisions and do not compromise the property's safety, structural integrity, or aesthetic appearance.
The Significance of a Licence to Alter
Many people unknowingly make alterations to their property without realising the need for consent from the landlord or managing agent. Depending on the terms of the lease, minor changes such as updating windows and front doors, pulling up carpet, or moving a partition wall will likely require permission. This oversight can be a costly mistake, and although the landlord or managing agent can grant a retrospective licence in some cases, it could also result in an order to reverse all changes. Obtaining consent is essential for several reasons:
Legal Compliance: Alterations without proper authorisation may breach lease agreements, resulting in legal consequences or the reversal of changes. If unauthorised changes are made, these will likely be discovered should the flat be sold, which will cause complications during the sales process.
Insurance Coverage: Unauthorised alterations may invalidate insurance policies, leaving property owners vulnerable in case of accidents or damages.
Property Value: Compliance with regulations and obtaining necessary permissions can protect the property's value and prevent disputes during sales or lease transfers.
Safety and Quality: This consent ensures that alterations meet building standards, safeguarding the property's safety and maintaining its quality and integrity.
The Process of Obtaining a Licence to Alter
The application timeline can vary depending on how many stakeholders are involved and the nature of the alteration, but usually, the process takes between four and eight weeks to complete. While the specifics can vary depending on the property type, lease agreements, and local regulations, the general process typically involves the following steps:
Check your property's lease agreement to understand any restrictions on alterations. Some leases may outline specific procedures for obtaining permission.
We always recommend that you first check with your building's Managing Agent to find out who you need to obtain permission from, as the Managing Agent can either give this or will need to be referred directly to the landlord. At this stage, you can also seek advice from architects, surveyors, and solicitors if necessary.
Before any licence to alter is granted, you will need a plan of proposed changes. Prepare a detailed proposal outlining the alterations, including plans, drawings, specifications, and any supporting documents.
Submit the proposal to the landlord or management company for review. Before approving it, they may consult with other stakeholders, such as freeholders, lawyers, and other leaseholders, and you may need to submit further supporting documents and information.
Upon approval, negotiate the terms of the Licence to Alter, including any conditions and restrictions associated with the alterations.
Once terms are agreed upon, both parties sign a legal document. This document should outline the approved alterations and any details relating to restrictions.
Costs
There are costs applicable on application of obtaining a Licence to Alter. These will likely include solicitor’s fees for drafting the Licence to Alter, surveyor’s fees, and, if applicable, a structural engineer’s fees for navigating building work complexities.
Once you have your Licence to Alter, you can proceed with your project and instruct your contractors. During the works, it is likely that the appointed surveyor will inspect the works on behalf of the landlord or management company. At the end of the project, the completed work needs to be documented for future reference.
Obtaining a Licence to Alter is a crucial step in making alterations to leasehold properties. Following the process outlined above, property owners can ensure legal compliance, protect property value, and uphold safety and quality standards. While the process may seem daunting, seeking professional guidance and understanding the necessary steps can simplify the journey.
As the process can be quite complex, at London Block Management, we invite our leaseholders to come to us with any legal questions regarding alterations to their property according to their lease agreement, and we are happy to advise where possible. The information in this blog post does not constitute legal advice; please contact your dedicated portfolio manager for further information.
Contact us today for our step-by-step guide on obtaining a Licence to Alter.
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