First-tier Tribunal Sets Premium for Missing Landlord Enfranchisement Case
📌 In brief
In a case involving a missing landlord, the First-tier Tribunal decided on the amount to be paid based on a valuation report. The report was prepared by an expert to determine the appropriate sum.
⚖️ Legal holding
In a missing landlord collective enfranchisement case, the appropriate sum to be paid into court is determined based on a valuation report.
📖 Technical summary
The Tribunal determined the amount of premium to be paid in a missing landlord collective enfranchisement case.
📜 Headnote Official document
The Tribunal determined the appropriate sum to be paid into court in a missing landlord collective enfranchisement case based on a valuation report prepared by an expert.
📚 Full judgment Official document
OUTCOME: Allowed
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FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)
Case Reference : LON/00AP/OCE/2024/0621
Property : 28A and 28B [ADDRESS] [POSTCODE]
Tenants : (1) Ms [NAME] (2) Ms [NAME]
Landlords : (1) Mr [NAME] (2) Ms [NAME] of Application : Amount of premium payable in a missing landlord collective enfranchisement case
Tribunal : Judge S [NAME] [NAME]
: 15 January 2025
DECISION The Tribunal determines £15,702 is the appropriate sum to be paid into court
© CROWN COPYRIGHT 2020
1. This is the determination of the price to be payable under Schedule 6 to the Leasehold Reform etc Act 1993, and where the landlord cannot be found, pursuant to s.27(5)(a).
2. 28 [ADDRESS] [POSTCODE] (“the property”) is a substantial two- storey centre terrace double-bayed house, which forms part of a terrace of contemporaneous houses of similar kind and has been converted into two self- contained flats, one on each floor.
3. A valuation report has been prepared by Mr [NAME]
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of [COMPANY], [NAME], 107 [ADDRESS] [POSTCODE], dated 19th November 2024.
4. Mr [NAME] conclusion is that the price payable by his clients is £15,702. This is based on a valuation of £7,851.00 in respect of each of the two flats.
5. It is our practice to look very carefully at an expert’s report in the case of a missing landlord because the Tribunal does not have the benefit of an expert’s report commissioned on behalf of the landlord.
6. However, after a careful reading of Mr [RESPONDENT] report, we find:
(a) the date of valuation to be correct;
(b) the length of the unexpired terms to be correct;
(c) the capitalisation rate of 8% to be reasonable and appropriate;
(d) the deferment rate of 5% to be reasonable and appropriate;
(e) the comparables to be appropriate;
(g) the methodology to be correct.
7. We adopt and determine the elements for the premium calculation set out by Mr [NAME]. The premium payable is therefore £15,702.
8. We confirm the draft TR1 [pages 105-109 of the hearing bundle].
9. A copy of Mrs [NAME] calculation is attached [page 67 of the hearing bundle].
Judge: S [NAME]: 15 January 2025
📊 How courts decide similar cases
Among 12 similar decisions in this collection:
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines £12,426 Premium for Collective Enfranchiseme…
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Freehold Premium for Long-Lease Property
- First-tier Tribunal (Property Chamber) Notice of Rent Increase Invalid Due to Incorrect Service Timing
- First-tier Tribunal (Property Chamber) Tenant Entitled to New Lease When Landlord Cannot Be Found
- First-tier Tribunal (Property Chamber) Tenant Granted New Lease Under Missing Landlord Provisions
- First-tier Tribunal (Property Chamber) Tenant Entitled to New Lease Under Missing Landlord Provisions
- First-tier Tribunal (Property Chamber) Tenant Challenges Service Charges Payability Under Landlord and Tenant Act
- First-tier Tribunal (Property Chamber) Statutory Lease Extension Granted Despite Missing Landlord
- First-tier Tribunal (Property Chamber) Tenant Wins New Lease Despite Missing Landlord
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets Freehold Price for Property in London
- First-tier Tribunal (Property Chamber) Freehold Valuation Approved: £99,450
- First-tier Tribunal (Property Chamber) Tribunal Sets Fair Rent for Regulated Tenancy
A snapshot of this collection — not a prediction of your case's outcome.
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- The unexpired terms of the leases were correctly stated in the report.
- The capitalisation rate of 8% used in the valuation was considered reasonable and appropriate.
- The deferment rate of 5% applied in the valuation was deemed reasonable and appropriate.
- The methodology used for the valuation was determined to be correct.
- The Tribunal adopted the premium calculation elements presented by the valuer.
- The Tribunal determined that £15,702 is the appropriate sum to be paid into court.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tribunal determined the appropriate sum to be paid into court in a missing landlord collective enfranchisement case.
Who was involved?
The tenants and landlords were involved, but the landlords could not be found.
How did the court decide, and why?
The court decided based on a valuation report provided by an expert, ensuring fairness in the absence of the landlord.
Which laws or rules were applied?
No specific laws or rules were mentioned in the judgment.
What was the argument that mattered most?
The valuation report provided by an expert was crucial in determining the appropriate sum.
Was the decision for or against the person who brought the case?
The decision was for the tenants who brought the case.
What does this mean for someone in a similar situation?
Someone in a similar situation should ensure they have a thorough valuation report to support their case.
What evidence or documents mattered?
The valuation report prepared by an expert was critical in making the decision.
Can a decision like this be appealed?
Decisions from the First-tier Tribunal can be appealed to the Upper Tribunal.
Is it worth getting a solicitor for a case like this?
It is recommended to seek advice from a qualified solicitor for such cases.
