Understanding your lease

Southway Housing Trust (Manchester) Limited
The Leaseholders’ Guide
UNDERSTANDING YOUR LEASE
Your lease – what is says and what it means
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The following pages set out a typical lease for an Southway Housing Trust (Manchester)
Limited flat. Your lease will probably be the same as this. Some leases have a few
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differences. This section explains what the lease means in plain English.
Remember, however, that the plain English version is only a guide — the legal wording in
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your actual lease would be used in law if there was a dispute over the terms of your lease.
Some unusual words you will find in your lease
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In your lease you will find some unusual words which have a particular meaning in law. Some
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of them appear several times. The list below may be helpful in understanding them:
Lessee
This means you, the leaseholder.
The Building
This means the building consisting of flats you live in and all internal
This means the shared parts of the block your flat is in, such as the
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Communal Areas
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communal parts (if applicable)
roof, outside walls, stairs, hallways, landings, shared gardens, drying
areas, parking areas, and services such as sewers, water supply,
The Premises
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gutters, downpipes and so on (if any)
This is your flat, and any gardens and outbuildings for your own
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exclusive use which are specified in the Firs Schedule of the lease.
Covenants
Covenants are things you agree to do when you buy your lease, such
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as paying your charges including service charges, not causing
nuisance to neighbours, and so on. They are legally binding and if
you don’t keep to them you have broken the terms of your
agreement.
Now read the following pages to see how your lease looks and what it says in plain
English. We have commented/provided an explanation on each section of the Lease in
blue.
2013
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SOUTHWAY HOUSING TRUST (MANCHESTER) LIMITED
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[BUYERS NAME]
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- and -
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____________________________________
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LEASE
Of the [FLOOR LEVEL] floor flat
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at [ADDRESS OF PROPERTY]
DWF LLP
1 Scott Place
2 Hardman Street
DX: 14313 Manchester
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____________________________________
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DATED
LR1. Date of Lease
LR2. Title number(s)
LR2.1 Landlord’s title number(s)
owned
by
Southway
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This is the title number of the freehold title
Housing
Trust
(Manchester) Limited out of which they will
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grant a leasehold title of your flat to you
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LR2.2 Other title numbers
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if any
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Any other title numbers which will be granted
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LR3. Parties to this lease
Landlord
SOUTHWAY
HOUSING
(MANCHESTER)
TRUST
LIMITED,
whose
registered office is at 825 Wilmslow Road,
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Didsbury, Manchester M20 2SN which is
registered with the Homes and Communities
Agency under the Regulator of Housing
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Registration No: L4507 and is an Industrial
and Provident Society registered under the
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Industrial and Provident Societies Act 1965
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under number IP30348R
Tenant
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[BUYERS NAME] of [BUYERS ADDRESS]
This is a lease for a flat to be bought from
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Southway
Housing
Trust
(Manchester)
Other parties
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Limited under the Right to Buy scheme
In the case of a conflict between this
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LR4. Property
clause and the remainder of this lease,
then, for the purposes of registration, this
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clause shall prevail.
[ADDRESS OF PROPERTY] shown edged
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red on the plan attached to this Lease
The address of your flat, a plan will be
attached showing the boundaries edged in
red
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LR5. Prescribed statements etc.
LR5.1 Statements prescribed under rules
179 (dispositions in favour of a charity),
180 (dispositions by a charity) or 196
(leases under the Leasehold Reform,
Housing and Urban Development Act
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1993) of the Land Registration Rules 2003
LR5.2 This lease is made under, or by
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reference to, provisions of:
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Leasehold Reform Act 1967, Housing Act
1988, Housing Act 1996.
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There are Acts of Parliament that govern this
LR6.
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lease and the Right to Buy Scheme
Term for which the Property is The term is as follows:
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Leased
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125 years from
This refers to the length of the lease to be
granted, which is usually 125 years less 5
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days from the completion date but can be the
remaining unexpired term on the Lease by
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which Southway holds the land or from the
commencement date of any Lease already
granted in the same block. The completion
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date is the date we receive the purchase
price and any outstanding rents and services
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charges etc
LR7. Premium
£[PURCHASE PRICE]
The is the amount payable following any
discounts for the length of tenancy
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LR8.
Prohibitions or restrictions on This lease contains a provision that
disposing of this lease
prohibits or restricts dispositions.
LR9. Rights of acquisition Etc
LR9.1 Tenant’s
rights
to
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contractual
renew this lease, to acquire the
reversion or another lease of the
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in other land
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Property, or to acquire an interest
LR9.2 Tenant’s covenant to (or offer to)
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surrender this lease
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None
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LR9.3 Landlord’s contractual rights to
LR10. Restrictive covenants given in this
acquire this lease
None
None
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lease by the landlord in respect of land
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other than the property
LR11. Easements
LR11.1
Easements granted by this lease
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for the benefit of the Property
Second Schedule
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LR11.2
Easements granted or reserved
by this lease over the Property
for the benefit of other property
Third Schedule
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LR12.
Estate rentcharge burdening the None
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Property
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LR13.
Application for standard form of The Parties to this lease apply to enter
restriction
the following standard form of restriction
against the title of the Property:
“No disposition of the registered estate (other
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than a charge) by the proprietor of the registered
estate or by the proprietor of any registered
charge, not being a charge registered before the
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entry of this restriction, is to be registered without
a certificate signed on behalf of Southway
Trust
(Manchester)
Limited
825
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Housing
Wilmslow Road, Didsbury, Manchester M20
2SN or its conveyancer that the provisions of
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clause 6.27 of the registered lease has been
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complied with”
This is a standard restriction to be put on the
register when the lease is registered by your
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solicitors. This requires you to ensure that
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any future leaseholder who you assign (sell)
the lease too abides by all the promises you
have made in this Lease to Southway
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Housing Trust.
The Parties to this lease apply to enter
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the following standard form of restriction
against the title of the Property:
“No disposition of the registered estate (other
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than a charge) by the proprietor of the registered
estate or by the proprietor of any registered
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charge, not being a charge registered before the
entry of this restriction, is to be registered without
a certificate signed by the proprietor for the time
being of the estate registered under title number
[TITLE NUMBER] or signed on such proprietor’s
behalf by its secretary or conveyancer that the
provisions of Clause 7.1 of the registered lease
has been complied with”
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LR14. Declaration of trust where there is The Tenant is more than one person. They
more than one person comprising the are to hold the Property on trust for
Tenant
themselves as joint tenants.
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OR
The Tenant is more than one person. They
are to hold the Property on trust for
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themselves as tenants in common in equal
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shares.
OR
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The Tenant is more than one person. They
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are to hold the Property on trust (Complete
as necessary)
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This relates to how you intend to hold the
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property, your solicitor will advise you further
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on this
Land Registry_
Land Registration Act 2002
Greater Manchester
District Council:
Manchester
Title Number:
[TITLE NUMBER]
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2013
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day of
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THIS LEASE is made the
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County:
Between (1) SOUTHWAY HOUSING TRUST (MANCHESTER) LIMITED of 825 Wilmslow
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Road, Didsbury, Manchester M20 2SN ("the Lessor") and (2) [BUYERS NAME] of [BUYERS
ADDRESS] ("the Lessee")
Interpretation,
1.1
In this Lease unless the context otherwise requires or admits the following
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(1)
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under the Right to Buy scheme
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This is a lease for a flat to be bought from Southway Housing Trust (Manchester) Limited
terms and expressions shall have the meanings specified:“Accessways”
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1.1.1
means
the
footpath(s)
or
passageway(s)
constructed on the land shown edged and hatched blue and
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edged and cross hatched green (if any) on the attached plan for
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the purpose of gaining access and egress to and from the
Property
means any pathways required to access and leave the flat in
which you live together with any pathways etc required by other
leaseholders or by the landlord to access parts of the Building
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1.1.2
"the Act" means the Housing Act 1985 as amended by the
Housing and Planning Act 1986 the Housing Act 1988 the
Leasehold Reform Housing and Urban Development Act 1993 and
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the Housing Act 2004
The Acts of Parliament which govern the Right to Buy scheme
"the Assessment Date" means in relation to the Service Charge
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1.1.3
the 31st day of March in each year
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means the date each year that your Service Charge payments are
“the Bin Store” means the area coloured blue (if any) on the
attached plan
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1.1.4
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reviewed
1.1.5
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Bin Store will only be applicable is there is one at your building
"the Building" means the building consisting of flats and includes
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the Premises and all internal communal parts (if applicable) within
the Building shown edged red on the attached plan
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We are the owner and landlord of the block of flats in which your
flat is situated. This block of flats, including all the shared parts
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such as entrance halls, landings and so on, and outside areas
such as shared gardens, drying areas and bin store areas (if any).
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1.1.6
“the Communal Area” means the area coloured yellow (if any) on
the attached plan or such area as shall be determined by the
Lessor
The shared parts of the block your flat is in, such as the roof,
outside walls, stairs, hallways, landings, shared gardens, drying
areas, parking areas, and services such as sewers, water supply,
gutters, downpipes and so on (if any).
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1.1.7
"the District Heating System" means the space heating and hot
water systems provided by the Lessor under a shared heating
scheme with neighbouring buildings owned or formerly owned by
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the Lessor
The shared heating and hot water system if applicable to your
1.1.8
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Property
"Exterior Repair and Maintenance" means in relation to the
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structure and exterior of and ancillary to the Building including the
Building and the Premises:
Painting to all external parts usually painted and to
all
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1.1.8.1
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Premises such of the following items as shall be applicable to the
internal
communal
parts
usually
painted
Pointing of all brickwork
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1.1.8.2
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including preparatory work prior to painting
1.1.8.3
Repair and maintenance to communal paths and
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access areas
Roofing repairs and re-roofing
1.1.8.5
Structural concrete repairs
1.1.8.6
Re-wiring of communal interior and unadopted
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1.1.8.4
exterior lighting
1.1.8.7
Replacement of refuse chutes
1.1.8.8
Repair maintenance and renewal of communal
television aerials
1.1.8.9
Repair
maintenance
telephones
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and
renewal
of
entry
1.1.8.10
Day to day and emergency repairs to external areas
and to internal communal areas normally carried
out to the Building by the Lessor
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Exterior Repair and Maintenance refers to the responsibility of us
the Lessor in relation to the Building.
"Interior Repair and Maintenance" means in relation to the
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1.1.9
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Premises:
1.1.9.1
Insofar as all such items apparatus structures
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fixtures and fittings are within the curtilage of the
Premises or are solely serving the Premises repairs
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decoration and maintenance to:
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1.1.9.1.1
all
materials
to
the
interior faces of all walls floors
and
ceilings
including
the
painting of the interior face of the
front door of the Premises and the
interior of the window frames in
external walls
1.1.9.1.2
all
internal
doors
and
door
frames and internal windows
including any glass therein
1.1.9.1.3
all internal partition walls
1.1.9.1.4
all locks latches and fasteners
1.1.9.1.5
the internal staircase (if any)
1.1.9.1.6
all gas electric drainage sanitary
water
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applied
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and heating
apparatus
(including any additions thereto)
and including all tanks pipes
wires ducts conduits radiators
meters
fittings thereto
controls
and
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valves
all paths and gates
1.1.9.1.8
all fixtures and fittings
1.1.9.1.9
the replacement
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1.1.9.1.7
of glass in
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windows in external walls
except where the window frame is being replaced
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by the Lessor under its obligations in that behalf
1.1.9.2
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and
All or any other interior repairs reasonably so called
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as are not included in Exterior Repair and
Maintenance
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Interior Repair and Maintenance refers to the responsibility of you
the Lessee in relation to the Premises
"the Lessee" includes the successors in title of and the assignees
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1.1.10
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of and persons deriving title under the Lessee
1.1.11
The Lessee is you and any one that you assign (sell) your lease
to.
"the Lessor" includes all persons entitled to the reversion
expectant on the Term
The Lessor means us and anyone that we should sell the freehold
title to the Premise to.
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1.1.12
"the Premises" means the premises hereby demised as
described in the First Schedule including for the purposes of
obligation as well as grant the parts and items specified in such
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Schedule
The Premises means the flat in which you live as described in the
"the Premium " means the sum of £[PURCHASE PRICE]
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1.1.13
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First Schedule to the Lease
The Premium means the amount you will pay for your lease
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following any deduction of any discounts given in relation to length
of your tenancy
"the Term" means the term of one hundred and twenty-five years
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1.1.14
2013
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from
The Term means the length of your lease which is 125 years from
1.2
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the completion date (please refer to LR6 for further information)
Words in the singular shall include the plural and vice versa and words
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importing one gender shall include all genders
the means that if for example the lease refers to one flat it means all flats or if
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it refers to a female it means male etc also and vice versa
1.3
Where one party includes more than one person covenants by that party are
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made jointly and severally
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this means that for example if the Premise are bought by more than one
person, each person is individually responsible for the promises that they
make as well as being responsible together
1.3.1
References to clause numbers or Schedules mean the relevant
clause of or Schedule to this Lease and references to paragraph
numbers mean the relevant paragraph of the Schedule specified
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Demise
(2)
IN consideration of the Premium now paid by the Lessee to the Lessor (receipt of
which sum is hereby acknowledged) and of the yearly rent hereby reserved and of
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the covenants by the Lessee and the conditions herein contained the Lessor in
exercise of the power and duty conferred upon it by the Act demises to the Lessee
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with full title guarantee ALL the Premises TOGETHER with the rights set out in the
Second Schedule hereto so far as the Lessor can lawfully grant the same but not
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further or otherwise Provided that any temporary or unavoidable breakdown in the
services and facilities mentioned therein shall not be deemed a breach of covenant
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or derogation of grant in this respect EXCEPT AND RESERVED as contained in the
Third Schedule TO HOLD the same to the Lessee for the Term SUBJECT to the
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covenants and conditions contained or referred to in the Registers of Title Number
[TITLE NUMBER] so far as the same are still subsisting and relate to or affect the
2.1
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Premises save for financial charges YIELDING AND PAYING therefore:
the yearly rent of £10.00 to be paid in arrears on the 24th day of June in
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each year of the Term clear of all deductions the first payment of rent or a
proportionate part thereof calculated from the date of this Lease being due
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on the 24th day of June next following the date of this Lease and
2.2
by way of further or additional rent ("the Service Charge") during each year
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of the Term a proportionate part (as calculated under the terms of this Lease)
of the costs of the repairs and services for which the Lessor is herein
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responsible and as to the cost of which the Lessor is not prevented from
recovering from the Lessee by virtue of Section 139 and Paragraph 18 of
Schedule 6 to the Act such Service Charge to be calculated and paid in the
manner and on the days as herein provided
This clause records the following agreement:
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2
You have paid us the agreed purchase price, and have agreed to keep to the
conditions of the lease and pay the ground rent and service charges. We in
turn agree to lease this flat to you (as long as you keep to the lease
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conditions). The property contained in the lease includes the walls round this
flat on this floor level, the floors of this flat (but not the structural joists
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underneath the floors) and the ceilings of this flat (but not the structural joists
above the ceilings). The lease also includes any gardens, outbuildings and
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other areas which are for the exclusive use of the leaseholder. These are
shown edged black on the plan attached to the Lease, and so are any rights
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of access and other privileges mentioned in the Second Schedule of the
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lease. We have certain rights of access set out in the Third Schedule of this
lease.
You must pay us a ground rent of £10 a year. This is due in
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2.1
arrears on 24 June each year. In the first year of the lease, you
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will pay a part of the yearly ground rent based on the number of
months between the start of this lease and 24 June of the
This details the Service Charge you must pay which we will
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2.2
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following year.
discuss further in this guidance note.
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Services for which Service Charge is payable
(3)
SUBJECT as herein provided the Service Charge shall be an amount assessed as
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at the Assessment Date by the Lessor to be the Service Charge for the year ending
on the Assessment Date and insofar as the same relates to repairs or services
normally carried out or provided by the Lessor to the Building or the Premises or
incidental to the Building or the Premises shall be:
3.1
Caretaking services (including mobile cleaning teams for the cleaning of
internal communal areas of buildings) provided by the Lessor for housing
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purposes (if applicable)
3.2
Electricity for communal lighting and lifts provided to the dwellings sharing an
electricity supply with the Premises through the same electricity company
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meter (if applicable)
Exterior Repair and Maintenance
3.4
Any improvements to the Premises which are owned by the Lessor and to
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3.3
the Building so far as the Premises are affected.
Maintenance of grassed and landscaped areas held by the Lessor
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3.4.1
for housing purposes by reason of some such grassed or
The cleaning by mobile cleaning teams of communal roadways
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3.4.2
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landscaped areas being in the vicinity of the Building
paths walkways and hardstanding areas unadopted by the
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highway authority and held by the Lessor for housing purposes by
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reason of some such communal roadways paths walkways or
hardstanding areas being in the vicinity of the Building
The lighting (unadopted by the highway authority) of external
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3.4.3
communal areas held by the Lessor for housing purposes by
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reason of such lighting being in the vicinity of the Building
3.5
The cost of administration provided by the Lessor being 10% of the total
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amount payable by the Lessee under the foregoing items of Service Charge
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3.6
Insuring the Premises and Building (including the Lessor’s fixtures and fitting
and the furnishings of the common part thereof but not the contents of any
property therein) insured against loss or damage
3.7
Compliance by the Lessor with every notice regulation and order of any
competent local or other authority in respect of the Building.
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Clause 3 details the services that we the Lessor will provide in relation to the
Building and the Premises to which the service charge is payable.
Payment of Service Charge
THE Service Charge shall be paid during the currency of each year ending on the
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(4)
Assessment Date on the 25th March 24th June 29th September and 25th December
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in arrears by estimated equal instalments And any excess or deficit as determined
by the Lessor as at the Assessment Date shall be allowed or paid with the estimated
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instalment of the Service Charge due on the 25th December next following the
Assessment Date AND IT IS AGREED THAT the cost of such services or the
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estimated amount of such costs shall include annually or more frequently recurring
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costs based on the previous years cost of services and shall also include an annual
contribution towards the costs of Exterior Repair or Maintenance and items listed at
Time shall not be of the essence for service of any notice in clause 0 and 4.1
of this Lease
4.2
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4.1
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clause (3) occurring at intervals of more than one year
If the Service Charge as assessed on the Assessment Date has exceeded or
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fallen short of the actual expenditure incurred at the end of the year the
Lessor shall be allowed or as the case may be shall pay forthwith the excess
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or the deficiency of the Service Charge
4.3
The Service Charge payable by the Lessee shall be a fair proportion of the
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costs and expenses set out in clauses 3.1-7 (where applicable) incurred in
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the year.
4.4
The Lessor may adopt any reasonable method of ascertaining the said
proportion and may adopt different methods in relation to different items of
costs and expenses.
Clause 4 relates to how and when the service charge payments are to be made by
the Lessee
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Lessor’s covenants
(5)
THE Lessor hereby covenants with the Lessee as follows:
That the Lessee paying the rent and Service Charge hereby reserved and observing
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and performing the covenants by the Lessee herein contained may peaceably hold
and enjoy the Premises during the Term without any interruption by the Lessor or any
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person rightfully claiming under or trust for the Lessor Subject to the Lessee
5.1
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complying fully with its obligations in this Lease:
To carry out the works and provide the services specified at clause (3) of this
5.2
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Lease
That the Lessor will at all times during the Term (unless such insurance shall
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be vitiated by any act or default of the Lessee) keep the Building insured
against loss or damage by fire and such other risks as the Lessor may from
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time to time reasonably determine in some insurance office of repute to its
full reinstatement value (including all professional fees in connection with any
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reinstatement to two years’ loss of rent but subject to such excess deductible
as it may be reasonable for the Lessee to accept in accordance with current
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market practice and subject also to such cover being generally available in
the insurance markets) and whenever reasonably believed required will
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produce to the Lessee a copy of the statement of the terms or a copy of the
insurance policy and a copy of the receipt or other form of confirmation of
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payment for the last premium for the same and will in the event of the
Building being damaged or destroyed by fire or other risks covered by such
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insurance as soon as reasonably practicable make a claim against the
insurers and lay out the insurance monies in the repair rebuilding or
reinstatement of the same.
5.3
To require every person to whom the Lessor shall hereafter grant a lease of
any other flat or maisonette within the Building to observe covenants similar
to those set forth in clause 0
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5.4
If so reasonably required by the Lessee the Lessor shall enforce the
covenants similar to those mentioned in clause 0 entered into or to be
entered into by lessees of other flats or maisonettes within the Building on
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the Lessee indemnifying the Lessor against all costs and expenses in
respect of such enforcement and providing such security in respect of costs
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and expenses as the Lessor may reasonably require Lessee's Covenants
The Lessors covenants are promises that we make to you and other tenants or
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leaseholders of flats in the Building
Lessee’s covenants
6.1
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THE Lessee hereby covenants with the Lessor as follows:
To pay the said yearly rent and the Service Charge at the times and in the
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(6)
manner aforesaid without any deduction and to pay and discharge all rates
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taxes assessments charges duties impositions and outgoings whatsoever
(except only such as the Lessor is bound by law to bear notwithstanding any
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contract to the contrary) which now are or during the Term shall be charged
assessed or imposed upon the Premises or on the Lessor or Lessee thereof
To pay to the Lessor the Service Charge contributions set out in paragraph 4
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6.2
hereto respectively at the times and in the manner there set out subject to
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the limitations placed upon such payments by the Act and the Landlord and
Tenant Act 1985 as amended
If any payment of or on account of Service Charge is not made on the due
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6.3
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date for payment thereof for any reason including dispute as to the amount
properly payable then to pay interest thereon from the due date until the date
of payment as well after as before judgment upon the amount properly
payable at a rate equal to 3% over the base rate for the time being of the
National Westminster Bank or such other bank as may be the successor to
the business of the said bank (hereinafter called “the specified rate”)
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6.4
To pay a fair proportion of the expense of repairing the party walls bounding
the Premises
6.5
To make good to the satisfaction of the Lessor all or any damage to the
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Premises or the Building caused by the negligence or default of or willfully by
the Lessee or persons being upon the Premises or the Building by the
6.6
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permission of the Lessee
To keep the interior of the Premises in good and tenantable repair and
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condition (including decorative repair) and to ensure that all Interior Repairs
and Maintenance has been carried out to a good and tenantable standard
To use the Premises as a single private residence and for no other purpose
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6.7
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whatsoever and not to cause or suffer any nuisance or annoyance on the
Premises to the Lessor or to the occupiers of neighbouring premises
To permit the Lessor and its surveyors and agents at all reasonable times in
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6.8
the daytime (and upon reasonable notice except in cases of emergency) to
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enter the Premises to view the state and condition thereof
AND to make good all defects and wants of repair of which notice in writing is
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given by the Lessor to the Lessee and for which the Lessee is liable under
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this Lease within three months after the giving of such notice
6.9
To permit the Lessor and/or its surveyors and agents at all reasonable times
in the daytime (and upon reasonable notice except in cases of emergency) to
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enter the Premises to examine any part of the Building for the repair of which
TH
the Lessor is responsible or to execute repairs or alterations to the Building
the Premises or to adjoining premises. The Lessor making good any damage
caused by the exercise of such right.
6.10
Not to make any structural alterations or structural additions to the Premises
or additions which alter the external appearance of the Premises or main
timbers of the Premises nor permit nor suffer injury thereto
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6.11
Not without the prior consent in writing of the Lessor to affix any aerial or
satellite dish to the roof or external walls of the Building
6.12
If the Lessee shall at any time make default in the performance of any of the
LY
covenants herein contained relating to repair or decoration or the making of
alterations or the undertaking of any works it shall be lawful for the Lessor
N
(but not obligatory) at all reasonable times on notice (except in the case of
emergency) (but without prejudice to the right of re-entry under clause (10) of
O
this Lease) to enter upon the Premises and repair and/or decorate and/or
remove and/or re-instate and/or undertake the same in accordance with
E
those covenants and the expense thereof and/or of any works in connection
therewith including surveyor’s fees shall be repaid by the Lessee to the
6.13
ID
Lessor on demand
Not to keep or permit to be kept dangerous offensive or inflammable
U
materials liquids or gases on or in the Premises other than those required for
G
normal household use or do or suffer to be done anything which is likely to
vitiate any insurance on the Premises or the Building or on any adjoining or
A
neighbouring premises or increase any insurance premiums in respect
thereof
Not to use or keep or permit or suffer to be used or kept in the Premises any
IS
6.14
liquid petroleum gas or other bottled gas appliance
Not to permit or suffer any bills posters or advertisements to be posted on
IS
6.15
the Premises so as to be visible from the exterior of the Premises except a
TH
single board of a size permitted by current Planning Regulations advertising
the property for sale or rent
6.16
Not to keep nor suffer to be kept livestock or domestic pets on or in the
Premises without the prior written consent of the Lessor
6.17
Not to accumulate any refuse on or about the Premises or the Building or the
garden (if any) forming part of the Premises other than in proper receptacles
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provided for that purpose and not to discharge any oil grease or other
deleterious substances into the sewers or drains serving the Premises or the
Building
Not without the consent in writing of the Lessor to erect any garage shed
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6.18
greenhouse fence or other structure whatsoever (whether temporary or
N
permanent) in the garden (if any) forming part of the Premises and to keep
and maintain any such garden in a neat and tidy condition
Not to obstruct nor permit to be obstructed any pathways drives passages
O
6.19
corridors or walkways to the Premises or to the Building nor use the same for
E
the storage of vehicles goods or chattels nor permit any such items to be
6.20
ID
placed or kept thereon
To pay all expenses (including legal costs and survey fees) incurred by the
U
Lessor incidental to the preparation and service of any notice in respect of
the Premises served under Section 146 of the Law of Property Act 1925 and
G
to pay all costs expenses and charges incurred by the Lessor at any time in
abating a nuisance arising from or in the Premises or in taking any action
6.21
A
pursuant to any order by a competent authority
With the object of affording to the Lessor a full indemnity in respect of any
IS
breach of the covenants (except for payment of rent other than the rent
hereby reserved) and conditions contained in the said Charges Register of
IS
Title Number [TITLE NUMBER] but not further or otherwise henceforth to
observe and perform the said covenants and conditions and keep the Lessor
TH
indemnified against all actions claims costs and liability in respect thereof so
far as the same affect the Premises and are still subsisting and capable of
being enforced
6.22
Not to sub demise (except by way of mortgage) or part with possession of
the whole of the Premises or any part thereof unless any such sub demise
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contains the same covenants conditions provisions exceptions and
reservations (except for payment of rent) as are contained in this Lease
6.23
Not to use the Premises for the purpose of a retail or wholesale market nor
6.24
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for a motor car boot sale or such other similar activity
To clean the interior window of the Premises as often as may reasonably be
To permit the tenants of other parts of the Building and their agents or
O
6.25
N
necessary
licensees upon reasonable notice (except in emergency) to enter the
6.25.1
E
Premises for the purpose:
of carrying out any obligations of such tenants to the Lessor under
ID
covenants relating to other parts of the Building and similar to
those herein contained;
of repairing maintaining or renewing any easement enjoyed by
U
6.25.2
G
such tenants over the Premises;
In either case causing as little damage as possible and making good all
6.26
A
damage caused.
Not to assign grant an Underlease or part with possession of part only of the
IS
Premises.
6.27
Prior to any assignment of the whole of the Premises or a Sub-Lease of the
IS
whole of the Premises for seven years or more to procure that the assignee
or sub-lessee enters into a deed of covenant with the Lessor to observe and
TH
perform the covenants and other obligations on the part of the Lessee
thereon and to pay the rent and service charge hereunder. The Lessee will
pay to the Lessor such registration fee as the Lessor shall reasonably
demand.
6.28
Within any one month after any transfer mortgage or charge of this Lease or
any sub-lease of the Premises and every assignment of such sub-lease or
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Page 16 of 23
any probate letters of administration Court Order or other instrument
effecting or evidencing any devolution of title to this Lease or any sub-lease
to produce the same to the Lessor for registration and pay to the Lessor such
6.29
LY
registration fee as the Lessor shall reasonably demand
At the expiration or earlier termination of the said Term possible to yield up
N
the Premises to the Lessor together with all additions thereto and all the
Lessor’s fixtures and fittings (if any) in good and tenantable repair and
6.30
O
condition
Not to use or play any radio television record player tape recorder or musical
E
or other noise making instrument of any kind so as to be audible outside the
6.31
ID
Premises at any time to occupiers of any neighbouring property
Not to decorate any external part of the Premises without the consent in
U
writing of the Lessors from time to time controlling the exercise of any
easements or rights granted with this Lease
To observe all reasonable regulations imposed or to be imposed by the
Lessor
To service the gas boiler and/or any other gas appliance contained within the
A
6.33
G
6.32
Premises within one month of the date of this Lease, and annually thereafter,
IS
the service to be undertaken by an appropriately qualified Gas Engineer
6.34
To supply the original safety certificate (CP1) or similar or a copy of the
IS
safety certificate (CP1) or similar to the Leasehold Manager of the Landlord
TH
within two months of the date of this Lease, and then annually thereafter
6.35
In the event of the Lessee sub-demising the property, for profitable or non
profitable purposes, the Lessee must have the gas boiler and/or any other
gas appliance serviced within one month of the date of sub demise, and then
annually thereafter, the service to be undertaken by an appropriately
qualified Gas Engineer
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6.36
To supply the original safety certificate (CP12) or similar or a copy of the
safety certificate (CP12) or similar to the Leasehold Manager of the Landlord
within two months of the date of sub demise, and then annually thereafter.
Not to remove nor interfere with nor cause to be removed or interfered with
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6.37
the main pipes, meters or common parts of the District Heating System and
N
not to do nor permit anything to be done which might adversely affect the
District Heating system
To only use the District Heating System and ancillary supply equipment for
the provision of hot water and space heating
O
6.38
E
The Lessee’s covenants are promises that you make to us and other tenants or
ID
leaseholders of other flats in the Building.
Other covenants
It is acknowledged that the Premium has been reduced by a discount of £[
U
(7)
]
G
and the Lessee for himself and his successors in title hereby covenants with the
Lessor that the Lessee or his successors in title will pay to the Lessor on demand
the amount specified in Section 155(2) and Section 155(A) and Section 155(C) of
A
the Act if within a period of five years from the date hereof there is a relevant
disposal as defined by section 159(1 and 2) of the Act which is not exempted by
IS
Section 160(1 and 2) of the Act of the whole or part of the Premises; but if there is
more than one such disposal then only the first of them and for the purpose of this
IS
covenant the grant of an option enabling a person to call for a disposal shall be
TH
treated as such a disposal
The paragraph acknowledges that the Premium is the amount payable after your
discount has been dedicated. We will value your Property then make a deduction
from that valuation of the amount of discount you are entitled to dependant on how
many years you have been a secure tenant.
figure payable by you.
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Page 18 of 23
This will then give us the Premium
The paragraph also relates the repayment period. If you (or anyone who takes over
the Lease) sell or transfer the lease within 5 years of the start of the Lease, you
must pay back to us some or all of the Right to Buy discount. The amount to be paid

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back is worked out as follows:
The full discount is repayable if sold within the first year after the date of the

N
Lease
80% of the discount is repayable if sold within the second after the date of

O
the Lease
60% of the discount is repayable if sold within the third after the date of the
40% of the discount is repayable if sold within the fourth after the date of the
ID

E
Lease
Lease; and
20% of the discount is repayable if sold within the fifth after the date of the
U

7.2
G
Lease.
The liability that may arise under the covenant in 7 above shall be charged
A
on the Premises in accordance with the provisions of Section 156 of the Act
7.2.1
The Lessee covenants with the Lessor that under the terms of
IS
Section 156A of the Act no relevant disposal which is not an
exempt disposal is to take place within the period of 10 years from
TH
IS
the date hereof unless the prescribed conditions have been
satisfied in relation to that or a previous disposal
If you decide to sell or transfer the Lease within the first 10 years
after the date of the lease you must offer the Property back to us
(or another social landlord in the area) at the market value. If we
(or another social landlord) decide not to purchase it, you are then
free to offer it for sale generally. If we do not wish to purchase the
Property from you, we will provide you with a certificate to confirm
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the same which will need to be provided to the new Buyers to
enable them to register the Property with the Land Registry.
7.2.2
For the purposes of sub-clause 7.2.1 above “the prescribed
LY
conditions” means such conditions as may be prescribed from
time to time by the Secretary of State pursuant to Section 156A(4)
7.3
N
of the Act (as amend or replaced from time to time)
The Lessee will on registering its interest at HM Land Registry apply for a
O
restriction in the following form:
“No disposition of the registered estate (other than a charge) by the
E
proprietor of the registered estate or by the proprietor of any registered
ID
charge is to be registered without a certificate signed by the proprietor for the
time being of the estate registered under title number [
] or signed
U
on such proprietor’s behalf by its secretary or conveyancer that the
provisions of Clause 7.1 of the registered lease has been complied with”
G
This restriction will be recorded on the title to the Lease and relates to us
providing a certificate to state that we have been offered the Property back
A
(as explained at 7.2.1 above) and do not wish to accept the offer. Because
of this restriction, the Land Registry will not register any transaction without
IS
the certificate from us.
7.4
The Lessor and the Lessee hereby apply to the Chief Land Registrar to enter
IS
on the appropriate Register a Notice of the Land Charge created by the
covenants on the part of the Lessee contained in clause 7.2 in accordance
TH
with Section 156(3) of the Housing Act 1985
7.5
It is hereby agreed that the provisions of Section 62 of the Law of Property
Act 1925 shall not apply to this Lease
There are several circumstances where the grant of an easement (a right
one individual has over another’s land) may be implied. Where land is
transferred,
ACTIVE:8135555:1
subject
to
contrary
Page 20 of 23
intention,
existing
easements
are
automatically conveyed under Section 62 of the Law of Property Act 1925.
This clause removes this automatic transfer of any implied easements. If
you are at all unsure how this affects you, you should seek advice from your
7.6
LY
solicitor.
This Lease is to a qualifying person and is made in pursuance of the
Section 171A of that Act
7.7
O
This confirms that you qualify for the Right to Buy.
N
provisions of Part V of the Housing Act 1985 as they applied by virtue of
The Lessor certifies that for the purposes of Section 133 of the Housing Act
E
1988 this Lease is an exempt disposal as defined in Section 81(8) of the
ID
Housing Act 1988
This relates to consents that are usually needed from the Homes and
U
Communities Agency to enable landlords like Southway Housing Trust
(Manchester) Limited to dispose of their housing stock. As this is a Right to
G
Buy and this right is statutory, no consent is required for us to sell the
Property to you.
This Lease is an exempt disposal for the purposes of Section 172 of the
A
7.8
Housing and Regeneration Act 2008 and no consent under that Section is
IS
required.
Very similar to clause 7.7 above.
The Premises is held by the Lessor, a non-exempt charity and this
IS
7.9
TH
disposition is not one falling within paragraph (a) (b) (c) or (d) of Section
117(3) of the Charities Act 2011 so that the restrictions on disposition
imposed by Sections 117 to 121 of that Act apply to the Property.
This relates to restrictions of us disposing of charitable land, which do not
apply to this lease
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Restriction
(8)
THE Lessee will on registering its interest at HM Land Registry hereby apply for a
restriction in the following form:
“No disposition of the registered estate (other than a charge) by the
LY
8.1
proprietor of the registered estate or by the proprietor of any registered
N
charge is to be registered without a certificate signed on behalf of Southway
Housing Trust (Manchester) Limited of 825 Wilmslow Road, Didsbury,
the registered lease has been complied with”
O
Manchester M20 2SN or its conveyancer that the provisions of clause 6.27
E
Prior to any assignment or a Sub-Lease of the whole of the Premises you will need
ID
to ensure that the assignee or sub-lessee enters into a deed of covenant with us to
observe and perform the covenants (promises) and other obligations you have made
U
in this Lease and to pay the rent and service charge. You will need to pay to us a
registration fee that we reasonably demand.
(9)
G
Notices
THIS Lease shall incorporate the regulations as to Notices contained in Section 196
IS
1962
A
of the Law of Property Act 1925 as amended by the Recorded Delivery Service Act
This clause relates to any notices that we serve on you as the tenant, if you are in
any doubt as to how this clause affects you we would suggest that you seek advice
IS
from your solicitor.
TH
Power of re-entry
(10)
IF at any time the said yearly rent or any part thereof shall be unpaid for the period
of one year or the Service Charge or any part thereof shall be unpaid for the period
of six months after the same shall have become due or if the Lessee shall for the
period of three months after demand fail neglect or refuse to observe and perform all
and every or any of the covenants and conditions herein contained on the part of the
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Lessee then and in every such case it shall be lawful for the Lessor to re-enter into
and upon the Premises or any part thereof in the name of the whole and thereupon
this demise shall absolutely cease and determine but without prejudice to any right
LY
of action of the parties in respect of any arrears of rent or Service Charge or of any
antecedent breach of covenant
N
This means we can end your lease and repossess your home (as long as we have a
court order) if:
You do not pay your rent within one year of it failing due or your service
charge within six months of the date it falls due;
You break any conditions of this Lease.
E

ID
Arbitration
(11)
O

ANY dispute or question between the Lessor and the Lessee as to the
U
reasonableness of the Service Charge shall be referred to a single arbitrator and the
G
Lessor and Lessee may agree the appointment of such person or either or both of
them may apply to the President of the Royal Institution of Chartered Surveyors to
make the appointment and these presents shall be deemed to be a submission to
A
arbitration within the Arbitration Act 1996 or any statutory modification or reenactment thereof for the time being in force and the decision of such person
IS
(including any decision as to the costs of such arbitration) shall be binding on both
the Lessor and the Lessee
SUBJECT to any direction as to or award of costs made by the arbitrator the
IS
11.1
Lessor and the Lessee shall each bear their own costs of any reference to
TH
arbitration for the purpose of clause (10)
This clause details how any disputes are to be dealt with.
Clause headings
(12)
THE clause headings to this Lease shall not affect the construction hereof
No Agreement for Lease
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12
(13)
IT is hereby certified that there is no Agreement for Lease to which this Lease gives
effect
Certificate of value
IT is hereby certified that the transaction hereby effected does not form part of a
LY
(14)
larger transaction or of a series of transactions in respect of which the amount or
N
value or the aggregate amount or value of the consideration other than rent exceeds
O
[£125,000.00/£175,000.00]
This confirms that the price paid is less than the Stamp Duty Land Tax threshold. Please
E
see advice on this from your solicitor.
IN WITNESS whereof the parties hereto have executed this instrument as their Deed the day
TH
IS
IS
A
G
U
ID
and year first above written
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Page 24 of 23
THE FIRST SCHEDULE
The Premises
ALL THAT walk-up living accommodation on the [FLOOR LEVEL] floor situate at
LY
and known as [ADDRESS OF PROPERTY]more particularly delineated and shown
edged red on the attached plan together with the garden area shown edged red (if
N
any) on the said plan and which comprises all internal partition walls the internal wall
finishes floor finishes and ceiling finishes the internal doors and door frames any
O
internal window frames (including the glass therein) the glass in the window frames
in external walls (but not the frames themselves) the internal staircase (if any) the
E
skirtings and architraves all gas electric drainage sanitary water and heating
ID
apparatus (including any additions thereto) and including all tanks pipes wires ducts
conduits radiators valves meters controls and fittings thereto insofar as all or any
U
such items herein mentioned are solely serving the said living accommodation
G
This Schedule describes your Property and everything that you are responsible for
TH
IS
IS
A
and have exclusive use of.
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Page 25 of 23
SECOND SCHEDULE
Rights included in the Demise
1
A right of way for all reasonable and proper purposes in common with the Lessor
LY
and all other persons entitled to the like right over the Accessways as is necessary
to afford access to and egress from the Premises
The benefit of any covenants entered into by the owners of other flats or
N
2
maisonettes within the Building with the Lessor so far as such covenants are
O
intended to benefit the Premises or the Lessee and so far as the benefit thereof can
in law accrue to the Premises or the Lessee in any such case causing as little
E
disturbance as possible and making good all damage caused by exercising the right
3
ID
as soon as practicably possible to the reasonable satisfaction of the Lessor
The right of subjacent and lateral support and protection of the Premises by the
U
other parts of the Building
The access of light and air so far as currently enjoyed by the Premises
5
The free passage of water and of gas or other piped fuel the drainage or disposal of
G
4
A
water sewage smoke or fumes and the use or maintenance of pipes and installations
for such purposes through the Building and land within the curtilage thereof
The right to the use or maintenance of cables or other installations for the supply of
IS
6
electricity for lighting television radio telephone and other domestic appliances
Caretaking services (if applicable) (including internal cleaning by mobile cleaning
IS
7
TH
teams) where such services were normally provided to the Building by the Lessor at
8
the date of this Lease
The right to use the Communal Area, in common with the Lessor and all other
persons entitled to the like right, for quiet recreational purposes only. The Lessee is
to contribute towards the maintenance of this area proportionate to use
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9
The right to use the Bin Store in common with all other persons entitled to the like
TH
IS
IS
A
G
U
ID
E
O
N
This Schedule details all the rights you have in relation to your Property.
LY
right
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Page 27 of 23
THIRD SCHEDULE
Reservations out of the Demise
1
A right of way for all reasonable and proper purposes in common with the Lessee for
2
LY
the Lessor and all others having the like right over and along the Accessways
The right of subjacent and lateral support and protection of the other parts of the
The right to the free passage through the Premises of water and of gas or other
O
3
N
Building by the Premises
piped fuel the drainage or disposal of water sewage smoke or fumes and the
passage of electricity for all purposes and the use and maintenance of pipes and
E
installations for such purposes together with the right at all times during the daytime
ID
and upon reasonable notice (except in case of emergency) to enter the Premises for
the purpose of such maintenance or for the renewal of such pipes and installations
Such rights of entry for the Lessor and all persons authorised by the Lessor at all
U
4
times in the daytime and upon reasonable notice (except in case of emergency) in or
G
upon the Premises as may be reasonably necessary for the purpose of exercising all
the rights hereby reserved and carrying out the obligations in this Lease
The main structural parts of the Building and the soil thereunder and airspace
A
5
thereover and including the roof and roof space joists rafters foundations cellars (if
IS
any) balconies and balustrades (if any) structural concrete members (where present)
external window frames all external and structural walls (but excluding internal
wallfinishes floor finishes and ceiling finishes internal partition walls internal windows
IS
internal doors and the glass in external windows) and all gutters downspouts gulleys
TH
cisterns tanks meters drains pipes ducts and conduits the use of which is common
6.
to both the Premises and other dwellings
The parts of the Building which are to be used in common by the lessees or
occupiers of any two or more dwellings within the Building including (where
applicable) the entrance hall doors landings staircases lifts refuse chutes communal
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15
areas and storerooms (and the fixtures fittings and additions thereto including any
entry telephone equipment) not forming part of the Premises
7.
All wires cables aerials satellite dishes poles brackets fixtures fittings repeater kiosks
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and other similar equipment in on over along to under and/or against the Premises
and the full and free right to replace re-erect refit re-attach fix use renew inspect
N
repair maintain or remove such wires cables aerials satellite dishes poles brackets
fixtures fittings repeater kiosks and other similar equipment Together with the right of
O
entry on the Premises for the purpose of exercising such rights (the Lessor making
E
good as soon as reasonably possible all damage occasioned thereby)
ID
This Schedule details the Property and the rights that we will retain for our benefit and the
TH
IS
IS
A
G
U
benefit of other tenants and leaseholders in the building
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Page 29 of 23
SIGNED as a deed by
HOUSING
TRUST
LY
SOUTHWAY
(MANCHESTER) LIMITED acting by a Director
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and a director/secretary
Name (in block capitals)
......................................
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SECRETARY/DIRECTOR
......................................
Name (in block capitals)
......................................
A
G
Signature
IS
SIGNED as a Deed by the said
IS
[BUYERS NAME] in the presence of:-
Name: …………………………………………
TH
Address: ………………………………………
…………………………………………………
…………………………………………………
Occupation ……………………………..
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E
......................................
ID
Signature
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DIRECTOR
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