Understanding the Right to Manage for Leaseholders

For many leaseholders, the phrase “property management” can come with a fair bit of frustration.

Unanswered emails, rising service charges, and decisions being made without any real sense of consultation. It can feel like you’re paying for a service you have very little control over.

But what if you could change that?

The Right to Manage for leaseholders offers a legal route to take back control, giving them a real say in how their building is run.

What is the Right to Manage for leaseholders?

The Right to Manage was introduced under the Commonhold and Leasehold Reform Act 2002, and it gives leaseholders the ability to take over the management of their building without needing to prove that anything has gone wrong.

You don’t need to evidence poor service; you don’t need to be in dispute with your landlord or managing agent and you don’t need to go through a lengthy legal battle.

But you do need to meet certain criteria, and the process itself must be followed properly.

Why do leaseholders choose RTM?

In reality, the reasons are a build-up of smaller frustrations. Communication that isn’t quite there, costs that aren’t clearly explained, maintenance that takes longer than it should and a general feeling of being disconnected from decisions that directly affect your home.

RTM shifts that dynamic.

It gives leaseholders the ability to make decisions, rather than chase them. To choose who manages their building, to understand where money is being spent, and to work with contractors they trust. More than anything, it brings visibility, and with that, a sense of control.

What does the process involve?

RTM is a structured legal process that needs to be handled carefully.

In simple terms, leaseholders come together to form a Right to Manage Company. All qualifying leaseholders must be invited to take part, and formal notice is then served on the freeholder. From there, there is a set process that allows for response, and if everything is in order, a handover date is agreed.

If the claim is valid and not disputed, management can transfer within a few months. If challenged, it can take longer, which is why getting it right from the outset is so important.

What RTM changes (and what it doesn’t)

One of the biggest misconceptions around RTM is that leaseholders are “taking over the building”. That isn’t the case.

The freeholder still owns the building, ground rent still applies, and the terms of the lease remain exactly the same.

What changes is the management structure. This is where the real impact is felt day to day, in how decisions are made, how money is spent, and how the building is looked after.

The responsibility that comes with it

Once RTM is in place, leaseholders, through the RTM Company, take on responsibility for things like health and safety compliance, financial management, insurance, and contractor oversight.

For many, that’s not something they want to handle alone, which is why most RTM companies choose to appoint a professional managing agent to support them.  You can read about whether resident control is the right path here.

Where JMJ fits in

At JMJ Asset Management, we understand that RTM isn’t just a legal process, but it is a shift from feeling out of the loop to being part of the decision-making process. 

We support leaseholders throughout that journey and that starts with understanding whether RTM is actually the right route for your building, because it isn’t always the answer.

From there, we guide you through the process alongside solicitors if necessary, help you avoid common pitfalls, and ensure that when management does transfer, it does so smoothly.

And importantly, we’re there afterwards too, providing you with clear, calm and accountable management that leaseholders were often missing in the first place.

Is RTM right for you?

RTM isn’t the right solution for every building, and it shouldn’t be approached as a quick fix.  You can read our article about this here:

But for many leaseholders, it offers a practical and achievable way to improve how their building is managed, without the complexity and cost of buying the freehold.

If you’re starting to question how things are currently being run, it may be time to explore what your options look like.