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LondonlawyerJ
LondonlawyerJ, Solicitor
Category: Property Law
Satisfied Customers: 803
Experience:  Experienced solicitor
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I own a leasehold flat along with 80 other leaseholds in the

Customer Question

I own a leasehold flat along with 80 other leaseholds in the main title.
Our leases state 'no subletting'
A lot of leaseholders are making their flats available on holiday letting websites for short stays from 2 days to 2 weeks.
There is a lot of debate between leaseholders on whether this is legal or not and whether it contravenes our leases.
The clause on subletting in our leases is:
3.20 not to assign underlet or part with possession of part only of the
Premises
3.21 not to assign underlet or part with possession of the Premises as a whole
without on each occasion (save in the case of an underletting of fixed
term of less than one year) procuring prior thereto that any intended
assignee underlessee or other occupier covenants directly with the
Landlord in such form as the Landlord shall specify to pay the Rent and
Service Charge reserved (save in the case of an underletting) and to
observe and perform the covenants and conditions contained in this
Lease
3.22 not to underlet the whole of the Premises save upon terms consistent
with the terms of this Lease
So our understanding is the leaseholders are allowed to rent/let out their flat on an AST to a tenant (no dispute there) However, the tenant is not allowed to sublet on an AST to another tenant.
The some of us including myself think is OK, and that I would like to confirm is that landlords are allowed to do such short term holiday lets which do not involve or imply signing an AST as there is nothing in the lease which states we can't do short term holiday lets and that its simply equivalent to letting a friend or family stay.
Is this correct? Secondly, is there anything implied even though not in our leases which would not allow such holiday lets?
Thanks
Submitted: 2 years ago.
Category: Property Law
Expert:  LondonlawyerJ replied 2 years ago.
LondonlawyerJ :

Hello I am a solicitor with 20 years experience. I will try to help you with this.

LondonlawyerJ :

There is nothing in the clauses you have shown me that prevents a holiday let of a few weeks being granted. \There is nothing in te law generally to prevent it either.

JACUSTOMER-g4ivr7k4- :

Is there a technical term for a holiday let? Is it clearly not an AST even though you give the keys for 1 week? Could it be a commercial / business of some kind?

LondonlawyerJ :

I don't think there is a technical term for it, holiday let should suffice. It would be sensible to use a lawyer or if you are confident a forms service such as RocketLawyer top assist https://www.rocketlawyer.co.uk/documents-and-forms/holiday-letting-agreement.rl# you don't want to accidentally end up granting more rights than you intend to.

JACUSTOMER-g4ivr7k4- :

So some of the leaseholders are asking the RTM company to 'ban' such holiday lets. Some of the leaseholders oppose this. If it is not in our leases and nothing in the law which stops this is this something the RTM can enforce? My opinion is that the RTM should not ban this but as a director on the board of the RTM I would like to respond according to what is legally correct...

LondonlawyerJ :

You need to look at the leases and see what the provisiosns are for adding new restrictions to the use of flats, that will govern this situation

LondonlawyerJ and other Property Law Specialists are ready to help you
Customer: replied 2 years ago.

Hello,


 


So the leases do not contain anything with regards to holiday lets. However, the management are on the verge of enforcing landlords that they do not let out as holiday lets. Does the leaseholders RTM / landlord have any right to enforce anything? (without amending all our leases)


 


My view is we don't. The many leaseholders complaining expect us to put a stop to short term letting. However, if we legally can't then I need to explain that back to all the leaseholders...


 


I guess we could have our own block policy, but then it may not be legally enforceable is that right?


 


Michael

Customer: replied 2 years ago.

What would one look for which describes whether you can add or remove restrictions to the lease. One point to note, is we are around 3 months off from purchasing the freehold. At which point our solicitor is going to draw up new leases for everyone (no ground rent, change to 999 years etc). This would be the best time to put any such clauses in our leases. We can ask our solicitor at the time, however, in order to have discussions on this in advance (all leaseholders are throwing ideas all over the place right now), I would need to suggest something reasonable which could be put in the leases. Generally I know there is something on subletting. However, a short holiday let from sites such as AirBNB would they be classified even as a sublet? Would it be normal to add such specifics to such long leases?