Market Rent Adjusted for Property Condition - First-tier Tribunal Decision

OUTCOME: Allowed

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Case Reference

: LON/OOBK/MNR/2024/0152

Property : 132 [ADDRESS] [POSTCODE]

Tenant

: Mr [APPELLANT]

Landlord : Mr [APPELLANT] of Objection : 21 June 2024

Type of Application : Determination of a Market Rent sections 13 & 14 of the Housing Act 1988

Tribunal

: R [NAME]

[NAME] of Summary Reasons

: 17 October 2024

_________________________

© CROWN COPYRIGHT 2024

_______________________________________________ FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)

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DECISION

The Tribunal determines a rent of £1435.00 per calendar month with effect from 17 October 2024. ___________

SUMMARY REASONS

Background 1. On 13 May 2024 the Landlord served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £1980.00 per calendar month in place of the existing rent of £1280.00 per calendar month per to take effect from 1 July 2024.

2. On 21 June 2024 under Section 13(4)(a) of the Housing Act 1988, the Tenant referred the Landlord’s notice proposing a new rent to the Tribunal for determination of a market rent.

Inspection 3. The Tribunal has carried out an inspection of the property on 17 October 2024. The property is a sixth floor flat in a purpose-built block accessed directly from Queensway. The block is served by a lift and stairs. The common parts of the block are in good condition. The property itself is a one bedroom, one living room, with a small bathroom and small kitchen. There is no outside space. The living room has functioning wooden single glazed sash windows. There is a curtain rail in front of the curtains installed by the landlord. The heating to the living room is by radiator which on date of inspection appeared to be poorly functioning. The hot water comes from a communal boiler supplied by the block at no extra cost to the Tenant. The kitchen is very small with an electric cooker and hob understood to have been installed by the landlord in or around 2012. The fridge freezer to the kitchen does not fit in the kitchen and is located in a cupboard off the stairs. The kitchen overall is very dated showing wear and tear for its age. The Bathroom dates from the original construction of the block in the 1930s. There are several damaged tiles, the bath panelling is damaged. The flat has dated decor, old carpeting and old electrical wiring. the Bedroom has central heating, which was functioning, it also has a number of sockets which appeared old in condition.

Evidence 4. The Tribunal has consideration of the written submissions provided by the Tenant and/the Landlord.

Determination and Valuation 5. Having consideration of the comparable evidence proved by the parties and of our own expert, general knowledge of rental values in the area, we consider

3 that the open market rent for the property in good tenantable condition would be in the region of £2050 per calendar month. From this level of rent we have made adjustments in relation to:

The property is not in good contemporary letting condition, the kitchen is dated, the bathroom is dated, the central heating is in disrepair. old wiring, tired decor, and old carpets. The tribunal allowed a discount of 10 % for the old bathroom, 10% for the old kitchen and 5% for central heating in disrepair and 5% for the old decor, flooring and old wiring.

6. The full valuation is shown below:

per calendar month Market Rent

£2050

Less List any deductions

30 %

£615.00

£1435.00

7. The Tribunal determines a rent of £1435.00per calendar month.

Decision 8. The Tribunal therefore determined that the rent at which the subject property might reasonably be expected to be let in the open market by a willing Landlord under an assured tenancy was £1435.00 per calendar month/week.

9. The Tribunal directs the new rent of £1435.00 to take effect on 17 October 2024. The Tribunal was satisfied that a starting date of that specified in the Landlord’s notice would cause the tenant undue hardship.

Chairman: [NAME]: 17 October 2024.

APPEAL PROVISIONS

These summary reasons are provided to give the parties an indication as to how the Tribunal made its decision. If either party wishes to appeal this decision, they should first make a request for full reasons and the details of how to appeal will be set out in the full reasons. Any request for full reasons should be made within a month. Any subsequent application for permission to appeal should be made on Form RP PTA.

MR22 First-tier Tribunal – Property Chamber File Ref No. FR/LON/00BK/MNR/2024/0332

Notice of the Tribunal Decision and Register of Rents under Assured Periodic Tenancies (Section 14 Determination)

Housing Act 1988 Section 14

Address of Premises The Tribunal members were 132 [ADDRESS], [POSTCODE]

[NAME] [NAME]

Landlord [NAME] 14 [ADDRESS],, [POSTCODE]

Tenant Mr [APPELLANT]

1. The rent is: £ 1435.00 Per months (excluding water rates and council tax but including any amounts in paras 3)

2. The date the decision takes effect is: 17 October 2024

*3. The amount included for services is/is

negligible/not applicable n/a Per

*4. Service charges are variable and are not included

5. Date assured tenancy commenced 1-2-1992

6. Length of the term or rental period 6 months

7. Allocation of liability for repairs Landlord

8. Furniture provided by landlord or superior landlord n/a

9. Description of premises 6th floor flat in 1930s purpose-built block, 1 bedroom, one living room , a small kitchen and small bathroom

[NAME] of Decision 17 October 2024