Many landlords in England let properties they own on a long leasehold, typically a flat purchased with a 99�999 year lease. Leasehold landlords face a layer of obligations over and above the standard private rented sector requirements: the lease itself may restrict subletting, require freeholder consent, and impose conditions on the tenancy terms. Failing to check the lease before letting can result in a breach of the lease, potentially triggering forfeiture proceedings.
Always read the lease before letting your flat
Subletting a leasehold flat without the freeholder's consent (if required by the lease) is a breach of the lease, it can result in a forfeiture notice. Check the subletting clause in your lease before marketing the property and apply for consent in writing if required.
Checking the lease, subletting clauses
- Absolute prohibition: The lease prohibits subletting entirely, rare in long residential leases, but check for this
- Qualified prohibition (consent required): The most common type, subletting is permitted with the freeholder's prior written consent. The freeholder cannot unreasonably withhold or delay consent
- No restriction: Some leases permit subletting freely without consent, check for this before assuming consent is required
- The subletting clause typically covers the entire flat, not just part of it. Room-by-room letting without consent may also be a breach
- Ground floor commercial units and properties converted from commercial use may have different lease terms, check carefully
Obtaining freeholder consent
- Apply in writing to the freeholder (or managing agent) before signing any tenancy agreement or marketing the property
- The freeholder cannot unreasonably withhold or delay consent, if they do, you can apply to the First-tier Tribunal (Property Chamber) for a determination
- Reasonable conditions on consent may include: the tenancy must be an AST (now a Periodic Assured Tenancy), the tenant must be referenced, the landlord remains responsible for service charges and building rules
- Expect a consent fee (licence to sublet): typically �50��500 depending on the freeholder
- Keep the written consent in your tenancy file, it may be needed if the freeholder later alleges breach
Service charges and building obligations during the tenancy
- The leaseholder (landlord) remains responsible for service charges, ground rent, and building insurance contributions, even though a tenant is in occupation
- Make clear in the tenancy agreement which utilities the tenant is responsible for and which the landlord pays (as part of the service charge)
- Building rules (no pets, no short-term lets, quiet hours) set by the freeholder or management company apply to the tenant, include them in the tenancy agreement as tenant obligations
- If the tenant breaches building rules (e.g. keeping a pet in contravention of the lease), the landlord, not the freeholder, is liable for the breach
- Major works: the freeholder can levy a major works service charge during the tenancy, this is the landlord's liability, not the tenant's
Renters' Rights Act 2025 impact on leasehold lets
- All new tenancies in leasehold flats in England from 1 May 2026 are Periodic Assured Tenancies, no more fixed-term ASTs
- Leasehold landlords must comply with all the same Renters' Rights Act obligations as freehold landlords: Section 13 rent increases (Form 4A), pet requests, subletting room requests, and PRS Ombudsman membership
- Pet clauses: if the lease prohibits pets and the tenant requests one, the landlord can reasonably refuse on the grounds that the lease prohibits it, but must still process the request formally and respond in writing within 28 days
- Consent to sublet a room: if the lease requires freeholder consent for subletting, the landlord may need to obtain freeholder consent before approving the tenant's subletting request, include this condition in any consent to the tenant