Learn what to expect when setting up a Right to Manage (RTM) company in London. Step-by-step guide to the process, responsibilities, and benefits.
Setting up a Right to Manage (RTM) company is a popular choice for leaseholders in London who want more control over how their block is managed. While the process gives residents greater say in how their service charges are spent and how their building is maintained, it’s important to know what to expect.
Here are the key steps and considerations when starting an RTM:
1.Meeting the Qualification Rules
– At least 50% of the leaseholders in the block must support the RTM application.
– The building must meet certain legal requirements, such as being self-contained.
What to expect: A clear legal process to ensure the block qualifies.
2.Forming the RTM Company
– Leaseholders must set up a company specifically for Right to Manage purposes.
– Directors and members are usually drawn from residents in the block.
What to expect: Some initial paperwork and formal responsibilities.
3. Serving the Notice
– A formal “Notice of Claim” is served on the freeholder.
– The freeholder has the right to respond but cannot block a valid RTM claim.
What to expect: Legal timescales that need to be followed carefully.
4. Taking Over Management Duties
– Once the RTM is granted, the company takes responsibility for managing the block.
– This includes service charges, maintenance, insurance, and compliance.
What to expect: More control, but also more responsibility.
5. Appointing a Managing Agent
– Most RTM companies appoint a professional block management company to handle day-to-day tasks.
– This ensures compliance, smooth maintenance, and happy residents.
What to expect: Less stress for directors, with professional support.
Partnering with a Trusted RTM Block Manager in London
At London Property Management, we specialise in working with RTM companies, offering clear guidance, transparent fees, and reliable service. Whether you’re just starting your RTM journey or looking for a new agent, we’ll ensure your block is managed professionally and fairly.
Thinking about setting up an RTM in London? Contact us today for friendly, expert advice.
