Letting your apartment
Under the terms of the underlease, leaseholders are allowed to underlet their apartments by way of an Assured Shorthold Tenancy agreement (AST).
The underletting period must be for a minimum of six-months and a maximum of three years*. Leaseholders must register the underletting/sub-tenancy with CREM (the landlord) within 28 days. CREM will require the original or a certified copy of the AST, and will demand an administration fee (currently £95 + VAT) to register the underletting. CREM can be contacted at email@example.com.
Leaseholders must also notify the managing agent, HML, of the sub-tenancy to ensure estate staff are aware of the names and contact details of the tenants.
*For an underletting of more than three years a Deed of Covenant with the landlord is required. The Landlord’s fee for this is £100 + VAT. In addition, registration of the underletting within 28 days is also required, the fee for which is £95 + VAT.
Please note: a car parking space, if assigned to an apartment, cannot be separately let.
As part of the original S24 application to the FTT leaseholders asked that responsibility for registering sub-lets (together with lease assignments, granting consents and issuing sales packs) be placed with the Tribunal-appointed manager. HML’s fee for registering tenancies is £40 + VAT.
The FTT initially determined that it should be the S24 manager’s responsibility. CREM appealed this decision. Regrettably Judge Vance reversed the previous FTT decision, deeming such matters to pertain to a landlord’s“proprietary right”. The leaseholders did not have the financial resources required to appeal this decision at the Upper Tribunal and were forced to accept the ruling.