Who Is an “Owner” When the Neighbouring Property Contains Flats?

Serving a Party Wall Notice on the house next door can be straightforward.

Serving one on a converted house or block of flats can be much more complicated.

There may be:

  • a freeholder;
  • several leaseholders;
  • a management company;
  • tenants;
  • mortgage lenders;
  • absent owners; and
  • managing agents.

Which of them actually counts as an “owner” for Party Wall purposes?

Start with the statutory definition

The Party Wall Act uses its own definition of owner.

It is wider than simply asking:

“Who owns the freehold?”

Long leasehold interests can also be relevant.

Simple Survey’s Defining an Owner Under the Party Wall Act and Freeholders and Leaseholders Explained cover the core definitions.

Why flats are complicated

Imagine a converted Victorian house containing three flats.

The freehold is owned by a company.

Each flat has a 125-year lease.

Your proposed excavation is close to the building.

It may not be sufficient simply to send one notice to the freehold company and ignore the leaseholders.

The affected ownership interests need to be identified properly.

Tenants are not necessarily statutory owners

A person living in a flat is not automatically an “owner” for Party Wall purposes.

An assured shorthold tenant and a long leaseholder have very different legal interests.

Do not rely on whoever answers the front door.

Freeholder versus leaseholder

Whether both require notice depends on the works and affected interests.

For example, works to a structure separating flats can have different ownership implications from excavation alongside the whole building.

Management company

A managing agent or management company may be extremely useful for communication.

That does not automatically mean they are the statutory adjoining owner.

Authority and ownership should be distinguished.

Joint leaseholders

A flat may also be owned jointly by two people.

Ownership details should be checked rather than assuming one name is enough.

Land Registry

Land Registry information can be a useful starting point.

For more complex blocks, leases and title structures may also need to be considered.

Why missing an owner matters

Failure to notify a relevant adjoining owner can undermine the Party Wall process in relation to that interest.

This is why ownership investigation should happen before notices are prepared.

Multiple surveyor appointments

Where several adjoining owners dissent, the project can potentially involve several statutory appointments.

Good early communication may help keep the process proportionate, but every owner’s statutory rights must still be respected.

The key point

In flats, the person living next door and the person who legally needs notice may not be the same person.

Identify the ownership structure before serving documents.

Simple Survey can help

We regularly deal with converted buildings and blocks involving freeholders and long leaseholders.

Send us the property details and proposed works and we can help identify the relevant Party Wall ownership interests.