Complete the form below to ask us a question or make an enquiry. We’ll get back to you via phone or email as soon as possible.


Extension of shared ownership leases by existing owners

Posted on 22nd December 2021 in Affordable Housing

Posted by

Jenny Lloyd

Senior Associate & Solicitor
Extension of shared ownership leases by existing owners

The Governments proposal to reform the shared ownership model is set to include all new leases being granted for 990 years, instead of the current 99 or 125 years.


How will the shared ownership reform affect existing owners?

Existing shared owners will be given the right to extend their lease to 990 years where their Registered Provider landlord is also the freehold owner of the property. 

Further details on the exact details are yet to be announced, so it is unclear whether;

  • the shared owner would need to pay a premium for the extension.
  • any premium is capped.
  • any associated fees would also be capped.


What is marriage value in leasehold property?

Most lenders will not lend on a lease that has less than 85 years left to run. Where there is less than 80 years left to run something called ‘marriage value’ is included in the calculation of the premium, which can increase the sum significantly.

The Governments proposal to reform the shared ownership model also includes the abolishment of ‘marriage value’. So if a shared owner still has a few years left before the lease term dips below 80 years, they may delay their application to extend in order to see which of the above scenarios applies, which could potentially save them money.


Find out more

Our Affordable Housing team have over 25 years’ experience in this sector, forming close working relationships with their housing clients. To find out more about the areas they advise on and their bespoke services please visit their hub page or contact a member of the team.

Contact our legal experts

Company & Industry

Related Insights


The Importance of Effective Record Keeping

Posted on 25th April 2024 in Affordable Housing

In the realm of property management, maintaining thorough repair and communication logs is not merely a best practice but a strategic necessity. With an increasing number of disrepair claims being filed against housing providers, meticulous record keeping serves as a powerful defence mechanism.

Posted by

Ashley Williams

Chartered Legal Executive

New ‘Complaint Handling Code’ From the Housing Ombudsman Service

Posted on 18th March 2024 in Affordable Housing

Complaint handling in the social housing sector has been the focus of significant attention in recent years, particularly in the wake of the Grenfell Tower fire and the tragic death of Awaab Ishak.

Posted by

Michael Taylor

Partner & Solicitor