RTM is a legal route for qualifying leaseholders to take over management functions for their building through a dedicated company — without buying the freehold.
Once the right is acquired, the RTM company takes responsibility for the management functions covered by the legislation and leases. This commonly includes arranging repairs, maintenance, building services, insurance administration and service-charge management, subject to the leases and exact arrangements.
The company can appoint a professional managing agent to handle day-to-day operations. Leaseholder directors provide direction and oversight; they do not have to personally organise every repair.
Under the current arrangement, Rebbeck manages the building within the arrangements set by the freeholder and the leases. Leaseholders pay the service charges, but there is no Richmond Gate leaseholder board with direct authority to set priorities, approve delegated budgets or review each job. RTM would transfer the relevant management functions to a company run by leaseholders, with directors answerable to the members.
That change in accountability matters in day-to-day decisions. Residents have raised the following examples and priorities:
Residents say permits were issued for individual car park spaces without advance notice, making it harder for households to share a space. Under RTM, directors could review how the permit arrangement affects residents, speak with the parking operator and consider a workable sharing policy before deciding what action the company can take. Any solution would need to fit the parking contract, leases and applicable rules.
Residents have raised concerns about the quality of previous east-side cleaning and say the building’s frontage needs proper attention. Directors could set a clear cleaning scope and budget, compare quotes, check contractor insurance, agree completion standards and review evidence of the work before authorising payment under the company’s agreed controls.
With a building-wide maintenance plan, directors can identify important work early, weigh it against the budget and track completion. Urgent and legally required work still has to be dealt with promptly; better planning helps make sure essential upkeep is not crowded out by avoidable last-minute repairs.
Directors could put charging options and any related costs up for discussion when residents ask, then assess demand, safety, electrical capacity, lease requirements and funding before deciding whether to take a proposal forward.
RTM does not give directors unlimited power over every contractor or parking arrangement. Their authority comes from the management functions transferred by law, the leases, contracts and the controls the company adopts. The practical difference is that leaseholder directors can set priorities and require clear reporting on decisions made for the building.
You do not need the landlord’s permission if the building and the claim qualify and the statutory process is followed. The landlord can serve a counter-notice disputing the claim; a tribunal may then need to decide entitlement.
Qualifying leaseholders can become members. The law also sets criteria for the building and the number of qualifying flats. Leaseholders who rent their flats out may still qualify. The solicitor will check Richmond Gate’s lease and ownership details before formal notices are served.
Government guidance says the building must contain flats; at least two-thirds of the flats generally need to be held on qualifying long leases; at least half the building must be residential; and the RTM company must have members representing at least half the flats before it takes over. Specific exceptions and technical details can apply.
At Richmond Gate, our required project threshold is 50% plus one: at least 45 participating flats out of 88. This gives the project a clear majority target. The solicitor will confirm which flats qualify and the statutory requirements before notices are served.