Solicitor says it is virtually impossible to get rid of Protected tenants?

Solicitor says it is virtually impossible to get rid of Protected tenants?

16:17 PM, 17th February 2016, About 6 years ago 23

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My family have a property in Hackney, which comprises of a commercial property and a flat above which is accessed by a separate entry to the side of the street.impossible

I need some serious advise how I can repossess the flat as I have protected tenants who have been living there since 1986! They are a husband and wife in their early 50’s with a son age 14.

I have spoken to several solicitors who basically say its virtually impossible to rid of them, unless they are not paying the rent. They are protected under the 1977 Rent Act. I realise protected tenants are becoming a thing of the past, but in my case this could go on forever as it can be handed down to their son.

Unless I can do something which is legal I am in a position where I may have no alternative but to pay them out, which I know that is what they wish and are hanging on for.

If the property is worth for instance £500,000, what percentage should I offer the tenants as I have not got a clue and really begrudge going down this route. I realise I would have to negotiate with them, but I need an indication of what is a reasonable offer to make.

Over the years these tenants have been a nightmare which I wont bore you with, but the time has come for them to go!!

I would really appreciate if somebody out there who has had this nightmare situation can advise me what action I should take or point me to a relevant person that may be able to help.

Much appreciated

Salvina



Comments

by Ian Narbeth

9:27 AM, 19th February 2016, About 6 years ago

Reply to the comment left by "Salvina Mendola" at "18/02/2016 - 22:58":

Hi Salvina
Unfortunately your parents granted the tenancy before the Housing Act 1988 came in which created Assured Shorthold Tenancies (may God bless Margaret Thatcher). Before then the rental market had stultified because of the Rent Acts (which were partly a reaction to the problems created by a housing shortage after the war and not helped by the activities of Peter Rachman et al.) No sensible landlord who wanted his property back risked renting and so council housing was the order of the day for many people.

You say your parents retired in 1984 and then rented out the property. Was the letting to the current tenants or to their parents? This would reduce the number of times the tenancy could be passed on.

I would be careful about paying for improvements to get a higher rent. Even if the return on investment is OK you are making it more likely (a) that the tenants will stay in their old age and (b) that their offspring will want to take over. My parents spent nothing on their sitting tenants' house apart from essential roof repairs and eventually got it back after a 26 year wait and were able to sell it to give a tidy little nest egg.

by Salvina Mendola

11:00 AM, 19th February 2016, About 6 years ago

Reply to the comment left by "Ian Narbeth" at "19/02/2016 - 09:27":

Thank you for your sound advice. Unfortunately, my father who is Italian did not fully understand all the law at the time and what he had let himself into. Like all old/past good hard working immigrants he wanted to build a future for his family.
Yes, answer to your question they are the same tenants. It was rented out to the one existing tenant, then he got married and had a child.
The only other option I was thinking of was perhaps if a property developer built on top of the flatt. The roof is a flat roof and is on a corner amongst a parade of shops which could also be developed. That way my family could perhaps come to a financial agreement with a developer. Do you think this is something I could possibly investigate into? Thanks for taking the time to read this. Salvina

by Ian Narbeth

11:39 AM, 19th February 2016, About 6 years ago

Reply to the comment left by "Salvina Mendola" at "19/02/2016 - 11:00":

You would need to talk to a builder about the practicalities. You will also need planning permission and a structural engineer to advise on whether it is possible to add extra weight. It will not be easy building whilst the tenants are in occupation and the time and cost are likely to be increased because of the need to work round the tenants.
I appreciate you feel sore about having to pay the tenant but values in Hackney have shot up in the last three years, never mind the last 30, so you should still have plenty of equity even after buying out the tenants. The tenants know their rights so there is no harm in talking to them to see if there is a deal to be done.


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