Information for Non-Resident Leaseholders
July 2014
This leaflet sets out some early information for Non-Resident Leaseholders of the Warwick Road estate (Broadwood Terrace and Chesterton Square).
If you haven’t lived in your property for 12 months prior to the date that you would be required to move, then you will be classified as a Non-Resident Leaseholder. This will allow sufficient time for current Non-Resident Leaseholders to become Resident Leaseholders if they so wish.
What can I expect if the Council decides to pursue redevelopment of the Warwick Road Estate?
Non-Resident and Resident Leaseholders will be compensated differently, and will have different options available to them.
In the event that the Council decides to pursue redevelopment of the Warwick Road estate, Non-Resident Leaseholders will be compensated as business owners. This means that you will receive the market value of your property plus a basic loss payment of 7.5% of the value up to a maximum of £75,000.
Rather than disturbance payments,Non-Resident Leaseholders are entitled to compensation for the reasonable costs of acquiring a new investment property within one year of the date at which the Council purchases your existing property.
To assess the market value of your property, the Council will appoint a registered valuer to act on our behalf. If you wish, you can also appoint an independent registered valuer to act for you, and we will bear your reasonable costs in doing so. The two valuers will agree the value of your property between them.
Non-Resident Leaseholders will not be offered the opportunity to purchase a property in the new development under an equity share arrangement. As outlined above, if you are residing in your property for 12 months prior to the date that you are required to move out, we will classify you as a Resident Leaseholder, and you will be entitled to this opportunity and to be compensated as a Resident Leaseholder.
Can I sell my property now?
If you wish to sell your property before a decision is made in regard to redevelopment, you can advertise your property on the open market as normal.
If you prefer, you can approach the Council directly and we will purchase your property at its current, full market value. The assessment of market value will disregard the fact that the Council is undertaking a review of the estate.
Can I still extend my lease?
The review will not affect any of your legal rights at this stage. We would advise you to get independent legal advice if you are considering extending your lease.