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Property Section

Law Commission consults on Commonhold

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The Law Commission has published its consultation paper on commonhold reform: ‘Reinvigorating commonhold: the alternative to leasehold ownership’. The consultation period is open until 10 March 2019 .

The project is looking at aspects of the law of commonhold which may be preventing its uptake.

The consultation paper makes provisional proposals to make commonhold work for homeowners, developers, mortgage lenders and across the wider property sector. The paper includes proposals which would:

  • enable commonhold to be used for larger, mixed-use developments which accommodate not only residential properties but also shops, restaurants and leisure facilities
  • allow shared ownership leases and other forms of affordable housing to be included within commonhold
  • make it easier for existing leaseholders to convert to commonhold and gain greater control over their properties
  • improve mortgage lenders’ confidence in commonhold to increase the choice of financing available for home buyers
  • provide homeowners with a greater say in how the costs of running their commonhold are met
  • enable homeowners to end unattractive long-term contracts imposed by developers.

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