Tribunal Sets Market Rent for Assured Tenancy

OUTCOME: Allowed

MR22 First-tier Tribunal – Property Chamber File Ref No. TR/LON/00BC/MNR/2024/0064

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 8 [ADDRESS], [POSTCODE]

[NAME]

Landlord [COMPANY], 3 [ADDRESS], [POSTCODE]

Tenant Ms [APPELLANT]

1. The rent is: £ 250.00 Per Week (excluding water rates and council tax but including any amounts in paras 3)

2. The date the decision takes effect is: 01 April 2024

*3. The amount included for services is 28.49 Per Week

5. Date assured tenancy commenced 18 March 2022

6. Length of the term or rental period weekly

7. Allocation of liability for repairs As per agreement

8. Furniture provided by landlord or superior landlord

9. Description of premises Second floor flat in three storey purpose built block comprising two rooms, kitchen and bathroom/wc.

Chairman E [NAME] of Decision 18 June 2024

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Case Reference : LON/00BC/MNR/2024/0064

P:PAPERREMOTE

Property : 8 [ADDRESS] [POSTCODE]

Applicant: [redacted]

Respondent: [redacted] Determination of the market rent under Section 14 Housing Act 1988

Tribunal

: Mrs [NAME] and venue of : 18 June 2024 Hearing Remote on the papers

_______________________________________________

DECISION ____________________________________

The market rent is £250 per week inclusive of £28.49 service charge with effect from 1 April 2024.

© CROWN COPYRIGHT FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)

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Background

1. On 12 February 2024 the tenant referred to the Tribunal a notice of increase of rent served by the landlord under section 13 of the Housing Act 1988.

2. The landlord's notice, which was served on 29 January 2024, proposed a rent of £149.04 per week with effect from 1 April 2024 in place of the existing rent of £133.47 per week.

3. The tenant occupies under a weekly agreement which commenced on 18 March 2002.

4. Directions were issued by the tribunal on 24 April 2024.

5. Prior to the hearing the tenant sent her submissions to the tribunal and copied them to the landlord, no representations were made by or on behalf of the landlord. The Evidence 6. The flat is on the second floor of a purpose built three storey block. The accommodation comprises two rooms, kitchen and bathroom/wc, The windows are double glazed and there is gas fired central heating. There are communal gardens for the benefit of the tenants.

7. The tenant in written submissions, stated that the services were of a poor standard: there was no lighting in the main car or by the front door; the common parts were shoddy, the communal garden was overgrown, the main door did not close properly and there were no gates to the car park. The tenant queried the cost of door entry, fire protection equipment and emergency lighting maintenance. The law

8. In accordance with the terms of section 14 Housing Act 1988 I proceeded to determine the rent at which I considered that the subject property might reasonably be expected to be let on the open market by a [NAME] under an assured tenancy.

9. In so doing I, as required by section 14(1), ignored the effect on the rental value of the property of any relevant tenant's improvements as defined in section 14(2) of that Act or any diminution in value due to the tenant not complying with the terms of the tenancy and also any items of disrepair which either the tenant had not reported to the landlord or had not allowed access for the landlord to carry out the necessary repairs.

Valuation

3 10. In coming to my decision, I relied on my own general knowledge of houses in Woodford since neither party had provided any comparable evidence.

11. I found that the open market rent of the property if modernised would be £300 per week however since the flat has not been recently refurbished the open market rent of the flat in its present condition is determined at £250 per week per inclusive of £28.49 service charge.

The decision 12. The rent of £250 per week is effective from 1 April 2024 in accordance with the landlord’s notice. The landlord may charge less but not more than the rent determined in accordance with the Act.

Chairman: [NAME]: 19 June 2024

ANNEX - RIGHTS OF APPEAL

I. If a party wishes to appeal this decision to the Upper Tribunal (Lands Chamber), then a written application for permission must be made to the First-tier Tribunal at the Regional Office which has been dealing with the case. The application should be made on Form RP PTA available at https://www.gov.uk/government/publications/form-rp- pta-application-for-permission-to-appeal-a-decision-to-the-upper- tribunal-lands-chamber II. The application for permission to appeal must arrive at the Regional Office within 28 days after the Tribunal sends written reasons for the decision to the person making the application.

III. If the application is not made within the 28-day time limit, such application must include a request for an extension of time and the reason for not complying with the 28-day time limit; the Tribunal will then look at such reason(s) and decide whether to allow the application for permission to appeal to proceed, despite not being within the time limit.

IV. The application for permission to appeal must identify the decision of the Tribunal to which it relates (i.e. give the date, the property and the case number), state the grounds of appeal and state the result the party making the application is seeking. Please note that if you are seeking permission to appeal against a decision made by the Tribunal under the Rent Act 1977, the Housing Act 1988 or the Local Government and Housing Act 1989, this can only be on a point of law.

Appendix Housing Act 1988

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14 Determination of rent by rent assessment committee. (1)Where, under subsection (4) (a) of section 13, a tenant refers to a rent assessment committee a notice under subsection (2) of that section, the committee shall determine the rent at which, subject to subsections (2) and (4) below, the committee consider that the dwelling-house concerned might reasonably be expected to be let in the open market by a [NAME] under an assured tenancy— (a) which is a periodic tenancy having the same periods as those of the tenancy to which the notice relates; (b) which begins at the beginning of the new period specified in the notice; (c) the terms of which (other than relating to the amount of the rent) are the same as those of the tenancy to which the notice relates; and (d) in respect of which the same notices, if any, have been given under any of Grounds 1 to 5 of Schedule 2 to this Act, as have been given (or have effect as if given) in relation to the tenancy to which the notice relates. (2) In making a determination under this section, there shall be disregarded— (a) any effect on the rent attributable to the granting of a tenancy to a sitting tenant; (b) any increase in the value of the dwelling-house attributable to a relevant improvement carried out by a person who at the time it was carried out was the tenant, if the improvement— (i) was carried out otherwise than in pursuance of an obligation to his immediate landlord, or (ii) was carried out pursuant to an obligation to his immediate landlord being an obligation which did not relate to the specific improvement concerned but arose by reference to consent given to the carrying out of that improvement; and (c) any reduction in the value of the dwelling-house attributable to a failure by the tenant to comply with any terms of the tenancy. (3) For the purposes of subsection (2)(b) above, in relation to a notice which is referred by a tenant as mentioned in subsection (1) above, an improvement is a relevant improvement if either it was carried out during the tenancy to which the notice relates or the following conditions are satisfied, namely— (a) that it was carried out not more than twenty-one years before the date of service of the notice; and

5 (b) that, at all times during the period beginning when the improvement was carried out and ending on the date of service of the notice, the dwelling-house has been let under an assured tenancy; and (c) that, on the coming to an end of an assured tenancy at any time during that period, the tenant (or, in the case of [NAME], at least one of them) did not quit. (4)In this section “rent” does not include any service charge, within the meaning of section 18 of the Landlord and Tenant Act 1985, but, subject to that, includes any sums payable by the tenant to the landlord on account of the use of furniture or for any of the matters referred to in subsection (1) (a) of that section, whether or not those sums are separate from the sums payable for the occupation of the dwelling-house concerned or are payable under separate agreements…. (7)Where a notice under section 13(2) above has been referred to the appropriate tribunal, then, unless the landlord and the tenant otherwise agree, the rent determined by the appropriate tribunal … shall be the rent under the tenancy with effect from the beginning of the new period specified in the notice or, if it appears to the appropriate tribunal that that would cause undue hardship to the tenant, with effect from such later date (not being later than the date the rent is determined) as the appropriate tribunal may direct.

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