Aug
05

Lofty Values for Lease Extensions

Apart from the value of a property the development potential of it is one of the most contentious factors in assessing price for freeholding enfranchisement and, on occasion, lease extension.

This often involves a discussion about the value of the loft space and its development potential, something that can be determined by the physical factors such as access hatch, its position, size, the height of the eaves, planning consent, etc.

At a tribunal hearing recently we have also had to consider a discussion on whether or not the value of development potential of a loft space is greater for a flat with a longer lease than for a flat with a shorter lease.

In a separate case we have also had to consider the possibility that a loft space could add to the value of the flat itself despite having no development potential.

 Many such issues are discussed at tribunal and as with many things in property there are often complications when initially none appear to exist.