Leasehold and Freehold Reform Act 2024

Redevelopment break rights in extended leases

4 (1) In section 17 of the LRA 1967 (redevelopment rights)—

(a) in subsection (1)—

(i) for “not earlier than twelve months before” substitute “during the period of 12 months ending with”;

(ii) after “date of the tenancy,” insert “or at any time during the period of five years ending with a break date of the new tenancy granted under that section,”;

(b) after subsection (1) insert—

“(1A) A “break date” of a new tenancy granted under section 14 is the date with which a break period of that tenancy ends.

(1B) A “break period” of a new tenancy granted under section 14 is a period of 90 years beginning with—

(a) the original term date of the tenancy extended under that section;

(b) the day after the end of a break period.

(1C) Where the new tenancy is not the first tenancy granted under section 14 in respect of a house, “original term date” in subsection (1B) means the term date of the first tenancy extended under that section.”

(2) In section 61 of the LRHUDA 1993 (redevelopment rights)—

(a) for subsection (2)(b) substitute—

“(b) at any time during the period of five years ending with a break date of the new lease.”;

(b) after subsection (2) insert—

“(2A) A “break date” of a new lease is the date with which a break period of that lease ends.

(2B) A “break period” of a new lease is a period of 90 years beginning with—

(a) the term date of the lease in relation to which the right to acquire a new lease was exercised;

(b) the day after the end of a break period.”;

(c) in subsection (3), for “the term date”, in the first place it occurs, substitute “a break date”.