Topic: Rent Increases

[swoops]

Forgive me if this subject has been raised before.....I'm sure it has.

Our allotments are on private land which is about to be sold at auction.  They are likely to remain allotments for the foreseeable future as the planning permission will never be granted for buildings etc by the Council....but as I'm sure you are aware things can change. 

Our short term problem is can the new private landlord increase the rent dramatically or is there any legislation to prevent this.

Help please

[Ian Pearson]

Not sure about legislation, but councils have been known to double rents, and there are often 'above inflation' rises.
If I were you, I'd get the other plot holders together, and go to the auction in your scruffiest clothes and dung-smeared boots. Your surly presence might put off any 'investors' and if no one else bids, you could get a bargain.

[Digeroo]

Are you currently council allotments.  Where abouts are you?  How much do you currently pay?

[sparrow]

It might depend on the lease that you currently have and whether there is provision in that for rent increases at particular levels. If the lease extends beyond the change in ownership, you're sitting tenants as I understand it, and the terms of the lease would need to be adhered to.

If the lease ends with the sale, then I guess it very much depends on the lease that you negotiate with the new landowner.

[swoops]

These are private allotments not council.  The land is for sale because the owners are in administration so I guess it would be new owners, new lease.  We must be sitting tenants with some legal right I imagine.  Part of the problem has been committee drowning not waving, keeping quiet about the problem and not asking for help.  We have a wide range of skills amongst the plot holders so if we had been told months ago we could have organised much better, as it is the sale is on 26th March, We have considered putting in a bid but the problem is when it comes to actually putting money on the line people step back.
I don't trust the current Committee to handle negotiating a new lease but the AGM is soon so we may have competent members on in the near future.

We're in West Yorkshire, near Halifax.

[swoops]

Afterthought......anyone have an idea on how soon after the sale we would be negotiating a new lease?

[Ian Pearson]

I suspect that the conditions of the existing tenancy agreement would be transferred to the new owner at the time of the sale. It's quite common for agreements to include that the site owner can end the agreement by giving 12 months notice. So the new owner would probably have to give that notice, then present the new agreement for signing by tenants.
I see that legislation cites that rent should be a 'reasonable amount' which the 'tenant would expect to pay'.

[Digeroo]

I would suspect they will simply give you 12 months notice and then build houses on it.  If not then your rents might increase by a huge %.

In the meantime pose as a buyer and ring  up the auctioneer asking what agreements there are on the land.  And the prospects for building on it.

Have you tried asking your local council to buy it?

[digmore]

Swoops,
I agree with Digeroo, ring up and ask for details. From that seek out Citizens Advice Bearaeu or if you are in the Nslga.

We pay 20p/sq m here in St. Helens, that may be a bench mark for negoeations.

Digmore. 

[swoops]

Thanks for the input.  We had contacted the Auctioneers and Administrators and the National Society are aware and helping but they like us have been given very short notice.

I have submitted an Asset of Community Nomination form, but the land is designated as urban open space anyway so at present not much chance the use will change for the near future.

I will concentrate on the lease and keep you all informed.