Leasehold Knowledge Partnership

The registered charity for leaseholders

Menu
  • Home
    • Site map
    • Archive of posts by category
  • What is LKP
    • Privacy and Data Protection Statement
    • Site map
  • HELP FORM
  • News
      • APPG
      • ARMA
      • Bellway
      • Benjamin Mire
      • Brixton Hill Court
      • Canary Riverside
      • Charter Quay
      • Chelsea Bridge Wharf
      • Commonhold
      • Communities Select Committee
      • Conveyancing Association
      • Countrywide
      • DCLG
      • E&J Capital Partners
      • Exit fees
      • Fleecehold
      • Forfeiture
      • FPRA
      • Gleeson Homes
      • Ground rent scandal
      • Cladding crisis
      • Hanover
      • House managers flat
      • House of Lords
      • Housing associations
      • Informal lease extension
      • Insurance scams
      • IRPM
      • Jim Fitzpatrick MP
      • John Christodoulou
      • Justin Bates
      • Justin Madders MP
      • Law Commission
      • LEASE
      • Leasehold Valuation Tribunal
      • Local authority leasehold
      • London Assembly
      • Louie Burns
      • Martin Paine
      • McCarthy and Stone
      • Moskovitz / Gurvits
      • Mulberry Mews
      • National Leasehold Campaign
      • Oakland Court
      • OFT / CMA
      • Park Homes
      • Persimmon
      • Peverel
      • Philip Rainey QC
      • Plantation Wharf
      • Prostitutes
      • Quadrangle House
      • Recognised Tenants’ Association
      • Redrow
      • Retirement
      • RICS
      • Right To Manage Federation
      • Roger Southam
      • RTM
      • Sean Powell
      • SFO
      • Sinclair Gardens Investments
      • Sir Ed Davey
      • Sir Peter Bottomley
      • St George’s Wharf
      • Taylor Wimpey
      • Tchenguiz
      • West India Quay
      • William Waldorf Astor
      • Windrush Court
  • Accreditation
    • Accredited Companies
        • Block Managers Limited
        • Clear Building Management
        • Diamond Managing Agents
        • Dixon Emerald Associates
        • HML Group
        • Home from Home
        • Home Management Group
        • JFM Block & Estate Management
        • Jones Associates Letting & Management
        • Norwich Residential Management
        • Premier Block Management
        • Red Rock Property Management
        • Sapphire Property Management
        • Town & City Management
        • Urang Property Management
        • Vestra Property Management
  • Fighting back
      • Lease Extension
      • Q&As
      • Right to buy freehold
      • Commonhold
      • Bottomley blasts leasehold crimes on video
      • LVT/Property Chamber Survival
      • Tribunal triumphs … and defeats
      • Recognised Tenants’ Association
      • Right To Manage
      • Video
      • Find MP … and see how many leasehold voters
      • LEASE: what’s the point?
      • Pensioners win £68,500
      • Most damning LVT ruling ever made
      • Insurance racket
      • Local authority leasehold
      • Remember to extend your lease
      • St George’s wins £1 million
      • Leasehold law: the reforms
  • Sub-letting
  • Press
  • Contact
  • Parliament
      • Communities Select Committee
      • APPG
      • APPG December 14 2016
      • Commons Debate 20/12/16
      • APPG April 19 2017
      • APPG July 5 2017
      • APPG December 14 2016
  • Right To Manage
  • Lease Extension
  • National Leasehold Campaign
    • Louie Burns
    • Ground rent scandal
    • Michael Epstein
  • Donate
You are here: Home / Ground rent scandal / Taylor Wimpey ground rent “assistance” review -update

Taylor Wimpey ground rent “assistance” review -update

June 14, 2017 By Admin2

LKP and Chair of the Leasehold and Commonhold reform APPG Sir Peter Bottomley MP has met with Taylor Wimpey for a progress report on their ground rent “assistance” scheme. This is a scheme to help leaseholders who had purchased doubling ground rent houses and flats from Taylor Wimpey. The effected properties were built by Taylor Wimpey in the period 2007-2011.

The meeting was attended by Pete Redfern CEO of Taylor Wimpey and UK Planning Director Jennie Daly.

Leaseholders wanting to check or sign up to the Taylor Wimpey assistance scheme can visit the TW site  HERE

Although the Taylor Wimpey web site answers a number of questions we asked for clarification on various points:

  • TW have confirmed those who sign up to the assistance scheme will be able to change their mind at any time before they accept the final terms. Until that final contract is signed the leaseholder can decide they would prefer to take alternative action against their solicitor, the developer or the current freeholder.
  • TW will require a compromise (confidentiality) agreements from those who wish to accept the final offer although certain information will obviously be openly recorded at the land registry.
  • TW have confirmed they will not seek to impose terms in the compromise agreement that would limit leaseholders from taking action against conveyancing solicitors provided they do not recover on the same matter twice. (so an action against the solicitor for providing the wrong information will still be allowed)
  • TW have confirmed that where they still own the freehold they will include second hand purchasers in the scheme although will require them to pay their own legal fees.
  • The deals currently under negotiation with the freeholders will need to vary from freeholder to freeholder so the specific terms offered to the leaseholders will vary from site to site reflective of the agreement reached with the freeholder.
  • TW confirm that the freeholders are constructively co-operating with them and that they hope to have made progress by the end of the year.
  • TW confirm their focus is on negotiating with the freeholders is for deeds of variation.
  • TW confirm they have been in correspondence with all leaseholders who have contacted them and advertised the scheme in the press.

The TW statements raise a number of important points.

Those leaseholders who have not signed up to the scheme should do so as they face no risk of losing their rights in taking alternative action. TW are not going to limit leaseholders from withdrawing from the scheme at any point before the finally sign to accept the negotiated terms. It the leaseholder does not want to accept their final terms they will still be able to take action against any relevant party including the developer.

Becasue there are a number of different freeholders the time frame in which agreement can be reached will vary as may the terms required to provide the leaseholders with a comparable level of “assistance”

Any agreement should not limit the leaseholders ability to enter into a separate negotiation to buy the freehold after varying the lease but of course leaseholders should have a solicitor check any contract before the sign.

Although Taylor Wimpey has replied to those leaseholders who have contacted them not all leaseholders impacted by the doubling ground rents may be aware of the scheme.

LKP welcomes the fact that Taylor Wimpey has been the first and so far the only developer to offer some financial “assistance” to their doubling ground rent buyers. If others do not follow then it seems inevitable government will have to act since a growing number of lenders have decided these doubling terms impact the future value of these homes and will no longer lend.

A number of concerns remain outstanding

  • With the TW scheme there is still little chance of leasehold house owners being able to buy their freehold at the price they may originally have be told about during the purchase process.
  • There is still a major problem for second hand buyers excluded from the scheme.
  • It is not clear what will happen to those who have not become aware of the scheme.
  • A number of leaseholders will feel they need to consider taking action against their conveyancing solicitor in addition to, or as an alternative to, the TW assistance scheme.

It now seems almost inevitable government or the sector will move to stopping the building of leasehold houses (as Taylor Wimpey has already committed to do). It is understood that it is not just the developers who have played this game for too long. There are perhaps more than one or two local authorities and land buyers who have decided to lease their freehold land for extra profit.

If government thinks the problem ends with Taylor Wimpey they would be wrong. There are other developers who used doubling ground rent terms. The worst seek to double the rent throughout the perpetuity of the lease making these properties effectively valueless according to some experts. RPI leases on leasehold houses and flats may be better than doubling leases but they also have issues.

Related posts:

Pete Redfern tells LKP how Taylor Wimpey will sort the ground rent scandal Taylor Wimpey delays ground rent scandal ‘review’ to April, and hopes, like Mr Micawber, ‘something will turn up’ Taylor Wimpey CEO says doubling ground rent scandal under ‘review’. But Bottomley asks: ‘Have innocent homebuyers been shafted?’ Taylor Wimpey’s snake oil ground rent review scheme makes toxic leases even worse: in my case, £25m worse! I had to spend £14,000 to change double ground rent to RPI at Ausden Place. But will I get compo from Taylor Wimpey?

Filed Under: Ground rent scandal, Latest News, Taylor Wimpey Tagged With: ground rent, leasehold houses, Taylor Wimpey

Contact LKP

Need help?

LKPhelp2The leasehold game is weighted against ordinary home-owning leaseholders, who aren’t professional players. LKP was set up to redress the balance, to help you win your disputes or at least avoid disasters.

If you have a leasehold problem, you can email sok@leaseholdknowledge or take a chance on calling 07808 328 230.

Or fill out this form, which ensures that you provide the essential information.

LKPnewsletter3

Professional services

The following advertisements are from firms that seek business from leaseholders. Click on the logos for company profiles.

Law

Right to manage

Lease extension / enfranchisement


capitalleasehold6-9ins

Insurance

Landscaping

limetree

LKP Managing Agents

Big managing agents are big because they have got business from developers or large-scale freehold owing companies. Doubtless they are very obliging.

Not a single one is big through consumer choice.

Managing agents accredited to LKP want business from leaseholders. Many are former leaseholders.

All have signed undertakings of good practice and have provided extensive references … from leaseholders.

They can also hand-hold leaseholders through right to manage at minimal cost.

Contact Sebastian O’Kelly at LKP for further details: sok@leaseholdknowledge.com, 07808 328 230

Please click on logos for link and details

Comments

  1. Michael Hollands says

    June 14, 2017 at 6:59 pm

    According to my very rough calculation, I am still of the opinion that the £130million TW have set aside for this issue is enough to assist all their leaseholders to purchase the freeholds.
    I am of course assuming that they are prepared to pay the full amount of£130million.
    Surely if the companies they sold the freeholds to are duty bound to sell the freeholds back to their leaseholders after two years then they should be willing to sell to TW. And with their negotiating power and by buying in bulk the cost can be reduced.
    I would suggest that when the APPG next meet Pete Redfern they ask some pertinent questions.
    EG.
    1 How many leasehold houses have TW sold.
    2 How many leaseholders have been contacted.
    3 How much would TW expect to pay to buy back all these leaseholds.
    4 How much would they be willing to sell them for back to all their leasehold purchasers.
    Given this information it will be easy to calculate if the £130million is sufficient.
    And maybe some agreement can be reached without resorting to expensive legal actions which would cost all parties an awful lot of money.

  2. Karen says

    June 14, 2017 at 10:06 pm

    With regards to some TW owners being blissfully unaware of what they face at some point in the future, I feel it is only fair for ALL lenders who have loaned mortgages on these properties, to write to their customers and inform them of their options. The lenders are duty bound to write to all these customers and not withhold this knowledge.

  3. Pro bono publico says

    June 17, 2017 at 10:10 pm

    One potential difficulty facing leaseholders who want to sue their solicitors is the question of limitation. An action for breach of contract and/or or negligence has to be brought within 6 years, and it appears that many of these houses were bought around 2011 /12.

    Admittedly, it could be argued that the limitation period for a negligence claim only begins when the leaseholder knew of the issue, but the solicitors and their insurers will undoubtedly argue that they knew about it at the date they bought the house.

    Interesting times.

  4. Ryszard Musielak says

    July 1, 2017 at 3:04 pm

    It would be nice to know what should the correct wording be in the doubling of rent be? Examples would help, especially when it seems no solicitor can be trusted to keep an eye on this and I did not use TW solicitors.
    In my agreement it says it doubles, but nowhere does it says every 10 years, only upon review.. Heck, what does it mean review? 1 year? 10 years? Lease term 150 years, etc? A clause that does not specify this correctly lead me to believe the review is at the expiry day!!! Shambles. Racketeering system. Mis selling definitely.

What is LKP?

The All Party Parliamentary Group for leasehold and commonhold reform ceases with the dissolution of Parliament. But we will be back after the election …

Sebastian O’Kelly
Martin Boyd
sok@leaseholdknowledge.com
martin.boyd@leaseholdknowledge.com

Please use the HELP FORM for ALL non-urgent matters.

Only call the numbers below if you are familiar with the LKP website and feel your issue can only be dealt with on the phone.

020 8050 2602
07808 328 230

The Leasehold Knowledge Partnership, a registered charity and the secretariat of the All Party Parliamentary Group on leasehold and commonhold reform, is explained here

Managing agents can apply to become an accredited managing agent here




LKPnewsletter3

Find everything here …

The reason why

ARMA regulator Sally Keeble quit ‘after being blocked’ from ruling on Warwick Estates lift shaft fatality

More reasons "why" ...

Tweets by @LKPleasehold

Press

Local authority leasehold on BBC’s You and Yours

Full Press archive

MPs don’t like what they see …

LKP is now a registered charity

The Charity Commission this week approved the Leasehold Knowledge Partnership as a registered charity. Its registered details and charitable objectives can be read on the commission’s website here “We are satisfied that LEASEHOLD KNOWLEDGE PARTNERSHIP is a charity and it has been entered onto the Register of Charities with the Registered Charity Number 1162584.” Says […]

Justin Madders delays Leasehold Reform Bill and calls on the Government to provide justice for leaseholders

Labour MP for Ellesmere Port & Neston, Justin Madders has delayed the second reading of the Leasehold Reform Bill until  October 26 2018.  The Bill seeks to introduce a statutory formula for enfranchisement and lease extension similar to schemes in Northern Ireland and Scotland. It will end the incessant game-playing and revenues from the lease […]

More Posts from this Category

Ground rent scandals

Ratner moment for UK housebuilders, says Chris Blythe, CEO of Chartered Institute of Building

The forthright CEO of the Chartered Institute of Building has again criticised the UK’s plc housebuilders this month. He references Bovis admitting paying its customers to occupy unfinished homes to meet year-end sales as well as the leasehold house / ground rent scandal. The article can be read here  In February Mr Blythe criticised the […]

Why are leasehold house owners mobilising while flat owners suffer in silence?

  Around 50 leasehold stakeholders and seven parliamentarians attended the All Party Parliamentary Group on leasehold reform on Wednesday evening. The parliamentary turnout was lower than expected, owing to the election. Sebastian O’Kelly, trustee of the Leasehold Knowledge Partnership, was the first speaker, welcoming owners of leasehold houses from the North West making their second […]

The Sun attacks ‘fatcat’ housebuilders with inflated fortunes thanks to Help To Buy

Fatcat boss involved in leasehold scandal lives in one of his company’s newbuild homes A FATCAT boss involved in the leasehold scandal lives in one of his company’s newbuild homes. But he has avoided the rip-off ground rent fees that have ruined the lives of other homebuyers. Ted Ayres, chief executive of property giant Bellway, […]

More Posts from this Category

Grenfell cladding

MHCLG ‘fundamentally flawed’ in expecting freeholders to pay for Grenfell cladding removal, LKP tells the FT

The FT today reports that government hopes that speculators in residential freeholds – especially anonymous ones hidden offshore – are unlikely to pay up to remove Grenfell cladding. The article coincided with reports of Places for People, freeholder of Leeds Saxton, issuing a non-repayable loan to leaseholders and pursuing a claim against warranty provider NHBC. […]

Taylor Wimpey has paid out only £11.2m of the supposed £130m to sort the doubling ground rent scam

… And £30 million to remove Grenfell cladding from the sites it built Taylor Wimpey has paid out only £11.2 million of the £130 million it set aside to address the doubling ground rent scam it inflicted on its customers between 2007 and 2011. During that period, the plc housebuilder dreamed up highly aggressive ground […]

More Posts from this Category

When leaseholders unite …

Recognised Tenants’ Association review – Part I

This is the first of 3 articles looking at the history of the RTA project and the findings of the most recent consultation. The stated objective of Ministers since 2014 is to make it easier to form a formal residents group known as a Recognised Tenants Association (RTA). LKP  has argued from the outset that […]

More Posts from this Category

Disgraceful …

Spreading Paine: the freeholds owned by Martin Paine and his wife (Margaret) Anne Kirmond

Below are freeholds from the Land Registry featuring properties owned by companies belonging to Martin Paine and / or his wife Margaret Anne Kirmond. They appear to own the freeholds of 444 flats, and other assets on leases such as garages. The freehold owning companies are Mercia Property Investments Limited, F.t.z. Limited and Chamber Estates Limited. We […]

More Posts from this Category

RSS Latest news from Better Retirement Housing

  • The Times says families ‘lost £3 billion’ on resales of leasehold retirement flats, while developers and freehold speculators made millions
  • Churchill Retirement donates £150,000 to Conservatives. To retain ground rents, by any chance?
  • Guardian reports dismal retirement flat re-sale prices, as seller ponders £28,000 offer
  • Your Housing Group shared equity retirement flat that sold for £38,000 on ITV
  • Elderly Accommodation Counsel says ‘recent retirement flat resales have increased in value’

LKP Managing Agents

Herts

Essex

London and South East

Tyne and Wear

Colchester

Swindon

Manchester

 

JFMManagement

London

Town&City

Nationwide

UrangFulham

RedRock

Essex / Middlesex

NRMlogoNorwich

 

Nationwide

Diamond

Epsom, Surrey

BlockManagers

Essex

jonesassociates

Macclesfield

DIrection

  • Log in
  • Entries feed
  • Comments feed
  • WordPress.org

Find Everything

Essential reads …

  • Ground rent scandal
  • Parliament
  • MPs’ APPG on leasehold
  • Benjamin Mire
  • Moskovitz / Gurvits
  • Oakland Court
  • McCarthy and Stone
  • Persimmon
  • Recognised Tenants’ Association
  • Cladding crisis
  • Canary Riverside
  • John Christodoulou
  • Peverel
  • Peverel Cirrus story so far
  • Charter Quay
  • Forfeiture
  • Plantation Wharf
  • Law Commission
  • Plantation Wharf
  • West India Quay
  • LEASE: what’s the point?
  • Tchenguiz
  • Sean Powell
  • Press
  • Exit fees
  • William Waldorf Astor
  • Martin Paine
  • LKP anthem
  • LVT/Property Chamber Survival
  • Most damning LVT ruling ever made
  • Pensioners win £68,500
  • Park Homes
  • Redrow
  • Retirement

Copyright © 2019 Leasehold Knowledge Partnership