How Can We Take Control of the Management of Our Building?
13 August 2024
Do you want to take control of your service charge budget and management of your building?
Leaseholders often feel disconnected from the management and finances of their building, particularly when a third-party investor with no real connection to the property handles these responsibilities, focusing primarily on collecting payments from flat owners.
While many freeholders manage their buildings and financial budgets effectively, there are instances where leaseholders find themselves dissatisfied with the level of management provided.
How to Take Over the Management of a Block of Flats
Disgruntled leaseholders have a few options:
- Enfranchisement: Force the freeholder to sell the freehold through a process known as enfranchisement.
- Right to Manage (RTM): Take over the management of the building from the freeholder.
- Enforcement Action: Seek legal action to compel the freeholder to address specific issues. However, this doesn’t prevent similar problems in the future.
How Does Enfranchisement Work?
Enfranchisement allows at least 50% of the flats in a building to join forces and compel the freeholder to sell the freehold to them. This process not only enhances the value of the flats but also gives owners control over the building’s management and finances. Additionally, once the freehold is acquired, flat owners can extend their leases, further increasing the value of their properties.
The cost of purchasing the freehold is determined by enfranchisement legislation. At Northmode Properties, we can connect you with a specialist valuer to estimate the likely cost of acquiring your freehold. It's important to note that flat owners are responsible for covering the professional costs of both the freeholder and their own.
How Does Right to Manage Work?
Alternatively, flat owners can band together to take over the management functions of their building from the freeholder, provided at least 50% of the flats are on board. This process allows leaseholders to control the service charge budget, maintenance contracts, building insurance, and other management responsibilities outlined in the flat leases.
While the flat leases remain unchanged and the freeholder retains ownership of the freehold (and may even become a member of the RTM group), leaseholders gain significantly more control over the management of their building.
Unlike enfranchisement, there is no purchase price for the RTM process. However, leaseholders are still responsible for the professional costs incurred by both the freeholder and themselves.
How Does Enforcement Action Work?
Our Dispute Resolution Team can assist with resolving service charge disputes and other issues between leaseholders and freeholders. The relationship between freeholders and leaseholders is typically governed by the flat lease but is also subject to additional legal regulations. Depending on the situation, legal applications to the Court or Tribunal may be necessary.
Points to Consider
Both enfranchisement and RTM have specific criteria that must be met, and there are additional considerations for enforcement actions.
In rare cases, enfranchisement does not necessarily result in leaseholders taking over management of the building.
We can provide estimates of the costs involved in any of these scenarios so that you and your neighbors can plan accordingly.
Specialist Leasehold Property Advisors
Our experienced team at Northmode Properties specialises in Right to Manage, Enfranchisement, and enforcement action procedures from start to finish. We offer a free initial consultation for all new clients, so if you're exploring your options for taking control of your building’s management or need more technical advice, please don't hesitate to call us at www.northmodeproperties.co.uk or contact us at info@northmodeproperties.co.uk.
The UK rental market has officially entered a new era. With the full implementation of the Renters’ Rights Act in 2026, the traditional "Section 21" or no-fault eviction is a thing of the past. For landlords across Manchester and Salford, this shift has created a wave of uncertainty. At Northmode Properties, we’ve spent the last year preparing our portfolios for this transition. The good news? High-quality property management makes these new regulations manageable. Here is what you need to know to stay compliant and protect your investment in 2026. 1. The Death of Section 21: What Replaces It? Tenancies are now fully periodic from day one. You can no longer end a tenancy without a specific, proven reason. Instead, the government has strengthened Section 8 grounds. The Northmode Strategy: We ensure every tenancy agreement is bulletproof from the start. If you need to sell or move back into your property, we manage the mandatory notice periods (typically 4 months) to ensure you aren't tied up in the revamped housing court system. 2. Mandatory Ombudsman & Redress Schemes In 2026, every private landlord must join the new Private Rented Sector Landlord Ombudsman. Failing to do so can result in heavy fines from Manchester or Salford City Councils. How we help: As your Property Management Specialists, we act as the professional buffer. We handle tenant disputes early, preventing them from ever reaching the Ombudsman stage and protecting your reputation as a landlord. 3. The 'Right to Request' a Pet One of the most talked-about changes in 2026 is the tenant's right to request a pet. Landlords can no longer "unreasonably" refuse. The Opportunity: Rather than seeing this as a risk, we view it as a way to secure long-term, high-quality tenants. We ensure tenants have the mandatory pet insurance required by the new law, protecting your carpets and woodwork while assisting an underserved market of professional pet owners in across Manchester. 4. Decent Homes Standard: The New Audit Reality For the first time, the Decent Homes Standard applies to the private sector. If your Manchester rental doesn't meet specific health and safety criteria, you cannot legally collect rent. Our Compliance Audit: Northmode Properties conducts rigorous pre-tenancy inspections to ensure your property meets the 2026 energy and safety standards that the council's enforcement teams are looking for. Why Proactive Management is Your Best Asset 2026 isn't the year for "DIY" landlording. The risks of non-compliance, ranging from rent repayment orders to fines are simply too high. By switching to Northmode Properties, you aren't just hiring a letting agent; you’re hiring a compliance shield. We take the stress of the Renters' Rights Act off your plate so you can focus on your yield, not the legislation. Reach out today, our team will be happy to guide you through the changes and recommend the most suitable service for your property. Call us: 0161 676 0084 Email: enquiries@northmodeproperties.co.uk
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Managing a property portfolio comes with great potential for high returns, but it also brings challenges such as maintenance coordination, tenant management, and financial planning. Portfolio landlords must adopt a strategic approach to ensure their investments are profitable, compliant, and stress-free. This guide explores the key principles of property portfolio management, offering insights on how to maximise rental income, streamline operations, and minimise risks. What is Property Portfolio Management? Property portfolio management refers to the strategic oversight of multiple investment properties. Unlike single-property landlords, portfolio landlords must balance different financial, operational, and regulatory considerations across multiple assets. A well-managed portfolio leads to: Consistent rental income and occupancy rates. Reduced maintenance costs through proactive planning. Legal compliance across all properties. Efficient handling of tenant relations. Key Strategies for Successful Property Portfolio Management 1. Establish a Clear Investment Strategy Before expanding a portfolio, landlords should define their investment goals: Buy-to-let income vs. capital growth – Do you prioritise monthly yield or long-term appreciation? Geographical focus – Concentrate on high-demand areas like Manchester and the Northwest. Property type – Focus on HMOs, single-lets, blocks, or a blend? Having a clear strategy helps landlords make informed purchasing and management decisions. 2. Professional Property Management: When to Delegate Self-managing a large portfolio can be overwhelming. Partnering with a property management company like Northmode Properties allows landlords to: Handle tenant communication, rent collection, and compliance. Reduce void periods with efficient tenant transitions. Access vetted contractors for cost-effective maintenance. A professional team can free up your time while ensuring high occupancy and compliance. 3. Financial Planning and Cash Flow Management Strong financial management is vital. Keep close watch on: Rental Yield & ROI – Make sure income exceeds expenses. Service Charges & Maintenance Budgets – Anticipate ongoing and long-term costs. Refinancing Options – Use equity to fund further growth. Tax Planning – Consider limited company structures to optimise tax. 4. Compliance and Risk Management Managing multiple properties means managing multiple legal obligations. Ensure: EPC and energy efficiency compliance Fire safety and gas certificates Deposit protection schemes HMO licensing (if applicable) Staying compliant protects against penalties, disputes, and reputational harm. 5. Scaling the Portfolio: Growth Strategies Looking to grow? Consider: Targeting high-yield areas and off-market opportunities Using remortgaging to release capital Forming joint ventures for larger deals Diversifying with HMOs, student lets, or mixed-use buildings Why Work with Northmode Properties At Northmode Properties, we specialise in helping portfolio landlords manage, grow, and protect their investments. We offer: Block and property management under one roof Lettings and tenant support tailored for portfolio landlords Maintenance coordination across multiple units Transparent financial reporting and strategic insights Ready to Take Your Portfolio to the Next Level? If you’re a portfolio landlord in Manchester or the Northwest, Northmode Properties is here to help you scale efficiently and sustainably. Contact us today to learn how we can support your growth and streamline your operations.