Schedules
Schedule 4Determining and sharing the market value
Part 3Determining the market value
13Collective enfranchisement: property other than relevant flats etc and appurtenant property
1
This paragraph applies only to a collective enfranchisement.
2
The requirement under paragraph 5(1) to use the standard valuation method applies only in relation to property comprised in the newly owned premises that is—
a
a relevant flat, or
b
appurtenant property leased with a relevant flat.
3
Accordingly, the standard valuation method is not compulsory for any other property comprised in the newly owned premises.
4
A flat is a “relevant flat” for the purposes of this paragraph if the flat is—
a
demised to a qualifying tenant, or
b
demised to a person who is not a qualifying tenant, but only because of section 5(5) and (6) of the LRHUDA 1993 (a person who is the tenant of three or more flats in the building).
5
But a flat is not a relevant flat if—
a
it, or any part of it, is demised by a lease which the nominee purchaser could acquire, but is not acquiring, under paragraph 2(5) of Schedule A1 to the LRHUDA 1993 (acquisition of intermediate leases);
b
it, or any part of it, is demised by a shared ownership lease.
6
Appurtenant property is “leased with” a relevant flat for the purposes of this paragraph if—
a
the appurtenant property and the relevant flat are leased under the same lease (including where, under section 7(6) of the LRHUDA 1993, two or more leases are treated as a single lease), and
7
By virtue of paragraph 1(1)(c) of Schedule 6, the references in this paragraph to a flat, a qualifying tenant, appurtenant property or a shared ownership lease have the same meanings that they have in Chapter 1 of Part 1 of the LRHUDA 1993 (see, respectively, sections 101(1), 5, 1(7) and 101(1) of that Act).