The aim of this form is to capture interest and understand how many leaseholders/tenants would be willing to participate in the process of attaining right to manage (RTM). RTM is a legal process in England & Wales that can lead to the building management becoming accountable to the leaseholders and residents, something which is not the case by default.
<aside> 🚀 Buildings with RTMs have service charges that are much lower and apartments are worth more
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<aside> 👋 Welcome to this page! Our mission is to gather 50% of leaseholders ~260 in City Lofts
Current Progress: TBC**/260**
Questions? Here’s how to reach us:
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Form for RTM to share with other leaseholders
[bit.ly/cityloftsrtm](https://www.bit.ly/cityloftsrtm)
What is RTM
Right to manage (RTM) is a legal process in England & Wales that results in the building management becoming accountable to the leaseholders and residents, something which is not the case by default. In effect, the leaseholders take control of the management of the building and can appoint their own management company.
Why do we need RTM?
Buildings that have RTM are much more likely to be better managed and control their service charges.
A great example is the Cascades building who have a successful RTM, and their service charges have only increased inline with inflation for the past 30 years.
Will this mean additional responsibilities for leaseholders? Will I have to actively manage the building on a day to day basis?
No, you won’t have to manage the building on a day to day basis. Leaseholders can still appoint a management company to manage their building. In fact, many RTMs choose to keep their existing managing agent but the service greatly improves and the costs reduce! This is because the managing agent is now accountable to the leaseholders and they can be ‘fired’ if they don’t do a good job.
Additional cost savings come from the RTM arranging their own building insurance, and the freeholder loses control of this process. Because most of the time freeholders take a (large) commission out of building insurance, sometimes RTMs can save hundreds of thousands of pounds on commissions.
In City Lofts our building insurance costs £1,000+ / year / leaseholder. A 40% commission (the freeholder hasn’t disclosed how much this is but some freeholders can charge up to that amount) would be £400 / leaseholder / year that goes directly to the pockets of the the freeholder and doesn’t benefit anyone else.
How difficult will it be to form an RTM?
It’s entirely possible. There are countless successful examples around the country that have achieved this. Ofcourse, the more help from you, the easier it will be!
<aside> 🔑 The most difficult part is getting 50% of the leaseholders to sign up. After we do this, everything else is the easy part.
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How much will it cost?
Not as expensive as you think! Forming an RTM doesn’t require large capital commitments and in certain cases it could be as low as £50-£100 / leaseholder. The more leaseholders we have onboard, the cheaper the costs will be. The costs mainly go to legal fees to appoint solicitors but the legal process is well defined in legislation and most leaseholders manage to have a smooth process without additional costs.
How can I help?
Share this form with other leaseholders
Some leaseholders have previously suggested helping by distributing leaflets or speaking to owner occupiers directly.
Edit this page and add more information
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