Enfranchisement: Chatsworth Road E5


This was a job where Peter Barry Surveyors were instructed on behalf of the Freeholder who had been served an enfranchisement claim S13 notice with a suggested premium of £39,000. The building consisted of 3 flats over the lower ground, ground, first and second floors in a Victorian mid-terrace.

Flats 1 and 2 were held on short 71 year leases whilst Flat 3 was held on a long 160 year lease having been subject to a previous extension. Peter Barry were instructed to produce a report as to the likely value of the freehold which would also include a figure at which to serve the S21 Counter Notice.



Whilst there was a good deal to discuss in relation to flat values and their individual contribution to the premium, this case turned on the interpretation of development hope value in relation to the roof space. The leasehold owners of the upper flat had made a tentative enquiry with the freehold. This was in the form of a singular email, about the possibility for consent to construct a third floor over the existing roof space.

The leaseholder’s surveyor argued that this was pretty insignificant evidence of their intent to undertake works and that a nominal amount should be awarded to the freeholder in the form of compensation. Peter Barry’s surveyor argued the opposite and fully expects that the main reason for the claim is that it would allow said leaseholder to undertake the conversion once they had possession of the freehold.

After further investigation, it transpired that the neighbouring property had undertaken an extension to create an additional bedroom and a roof terrace. This swung the argument significantly in the freeholder’s favour as it provided very strong evidence as to likely post works values and the fact the planning permission for a similar scheme would be easily granted.


After further rounds of negotiation, the premium was agreed at £79,000, a full £40,000 above the leaseholders’ offer of £39,000 and a costly First Tier Tribunal hearing was avoided. Peter Barry are experts in enfranchisement claims and have the depth of experience that comes from acting for both Leaseholders and Freeholders.

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