Licence to Alter Valuations
A licence for alterations is often required for a leasehold property when building work is intended. For example, if a leaseholder intends to sub-divide the property, create additional living space by extending into the loft or if they want to fit new windows or change the front door.
This licence for alterations is the freeholders or immediate landlords consent. Quite often that consent will be granted upon the freeholder becoming satisfied with the scope and specification of works and an administrative fee (consent fee becoming payable).
However, in some instances, the freeholder will consider that granting consent allows the leaseholder to derive additional value. For example, if a property is large enough to be divided into two units or if the demised roof is extended into with a loft conversion. Note that if the roof is not demised, a sale would also be required, which we can advise on.
If there is increased value, the freeholder may want a share of what is called Marriage Value. This can require a Valuation for a Licence to alter, which we can provide to leaseholder or freeholder (or by joint instruction), for the purpose of negotiations or independent assessment.
Once instructed to carry out a Valuation, we are normally able to provide our report within a week and can often, if necessary meet tighter deadlines where required. Larger portfolios may of course take longer but we will discuss implications with you at an early stage.
As well as the licence to alter, the freeholder may request an assessment of the works to be carried out or already carried out. For further information on this, please see our Leasehold property alterations page.
At Websters, we are Chartered Surveyors, regulated by the Royal Institution of Chartered Surveyors. Our services span most of London and some surrounding areas including Hertfordshire, Buckinghamshire, Essex and parts of Surrey and Sussex.
Please contact us if you would like to discuss your requirements on 020 8017 1943.