Housing (Extension of Right to Buy) Order 1987

JurisdictionUK Non-devolved
CitationSI 1987/1732
Year1987

1987 No. 1732

HOUSING, ENGLAND AND WALES

The Housing (Extension of Right to Buy) Order 1987

Made 30th September 1987

Laid before Parliament 2nd October 1987

Coming into force 23th October 1987

The Secretary of State, in exercise of the powers conferred on him by section 171 of the Housing Act 19851and of all other powers enabling him in that behalf, hereby makes the following Order —

S-1 Citation and commencement

Citation and commencement

1. This Order may be cited as the Housing (Extension of Right to Buy) Order 1987 and shall come into force on 23rd October 1987.

S-2 Interpretation

Interpretation

2. In this Order, unless the contrary intention appears, a reference to a numbered section, Part or Schedule, without more, is a reference to the section, Part or Schedule bearing that number in the Housing Act 1985.

S-3 Extension of the right to buy

Extension of the right to buy

3.—(1) Where there are in a dwelling-house let on a secure tenancy one or more interests all of which are interests to which this article applies, and the dwelling-house is a house, Part V (the right to buy) has effect with the modifications specified in the Schedule to this Order being modifications to enable a secure tenant to acquire the freehold of the dwelling-house.

(2) This article applies to an interest held by —

a local authority,

a new town corporation,

an urban development corporation,

the Development Board for Rural Wales,

the Housing Corporation, or

a registered housing association, other than one excepted from the right to buy by Schedule 5, paragraph 1 (charities), 2 (co-operatives) or 3 (associations which have not received grant),

which is immediately superior to the interest of the landlord or to another interest to which this article applies.

S-4 Consequential, supplementary and transitional provisions

Consequential, supplementary and transitional provisions

4.—(1) In a case where a secure tenant, at a time when this Order did not apply, has served, in relation to the dwelling-house, a notice under section 122(1) (tenant’s notice claiming to exercise right to buy), this Order does not apply while that notice remains in force.

(2) Where, in pursuance of Part V as modified by this Order, a secure tenant has served a notice under section 122(1) (notice claiming to exercise right to buy) then in the event of the interest of the landlord, an intermediate landlord or the freeholder in the dwelling-house passing to a person not being an authority or body to which article 3(2) applies, the freeholder shall as soon as practicable serve on the tenant a notice in writing telling him that he is no longer entitled to acquire the freehold of the dwelling-house.

Nicholas Ridley

One of Her Majesty’s Principal Secretaries of State

30th September 1987

SCHEDULE

Article 3

MODIFICATIONS OF PART V

SCH-1.1

1. In section 118 (the right to buy), for subsection (1) substitute —

SCH-1.1

“1 A secure tenant has the right to buy, that is to say, the right, in the circumstances and subject to the conditions and exceptions stated in the following provisions of this Part, to acquire the freehold of the dwelling-house.”.

SCH-1.2

2. In section 122 (tenant’s notice claiming to exercise right to buy), omit subsection (3).

SCH-1.3

3. After section 122 (tenant’s notice claiming to exercise right to buy) insert —

SCH-1.122A

122A.—(1) Where a notice under section 122(1) (notice claiming to exercise right to buy) is served by the tenant, the landlord shall, as soon as practicable —

(a)

(a) serve a copy of the notice on the authority or body which is its landlord in relation to the dwelling-house, and

(b)

(b) serve on the tenant a notice in writing that this has been done and of the name and address of that authority or body.

(2) If the authority or body referred to in subsection (1)(a) is an intermediate landlord, it shall in turn serve a copy of the notice on the authority or body which is its immediate landlord in relation to the dwelling-house (and so on, if that authority or body is also an intermediate landlord).

(3) The landlord and each of the intermediate landlords (if any) shall, at the same time as it serves on its landlord the copy of the tenant’s notice, notify that authority or body whether to its knowledge there are any reasons for denying the tenant’s right to buy and, if there are, state those reasons.

(4) When an intermediate landlord, in accordance with subsection (3), notifies its immediate landlord whether there are any reasons for denying the tenant’s right to buy, it shall send with that notification the notification or notifications under that subsection which it has received from the landlord or from any other intermediate landlord or landlords.

(5) An authority or body which serves a copy of the tenant’s notice on another authority or body in accordance with subsection (2) shall at the same time notify the landlord and the tenant that this has been done and of the name and address of the other authority or body.”.

SCH-1.4

4. In section 123 (claim to share right to buy with members of family), in paragraph (b) of subsection (2), for the reference to the landlord substitute a reference to the freeholder.

SCH-1.5

5. For section 124 (landlord’s notice admitting or denying right to buy) substitute —

SCH-1.124

124.—(1) Where a notice under section 122 (notice claiming to exercise right to buy) has been served by the tenant, the freeholder shall, unless the notice has been withdrawn, serve on the tenant, within eight weeks of service under section 122A on the freeholder of the copy of the tenant’s notice, a written notice either —

(a)

(a) admitting his right, or

(b)

(b) denying it and stating the reasons why in its opinion the tenant does not have the right to buy.

(2) The freeholder shall, as soon as practicable, serve a copy of the notice on the landlord and on each of the intermediate landlords (if any).”.

SCH-1.6

6. After section 124 insert —

SCH-1.124A

Withdrawal of tenant’s notice

124A.—(1) If the tenant wishes to withdraw a notice served under section 122(1) (notice claiming to exercise right to buy) before he has received the freeholder’s notice under section 124(1) (notice admitting or denying right to buy), he may do so by notice in writing served on the landlord.

(2) Where the landlord receives the tenant’s notice of withdrawal under subsection (1) after it has served a copy of the tenant’s notice under section 122(1) (notice claiming to exercise right to buy) on its landlord, it shall, as soon as practicable, serve on its landlord a copy of the notice of withdrawal.

(3) An intermediate landlord shall, in turn, similarly serve a copy of the tenant’s notice of withdrawal on its immediate landlord.

(4) If the tenant wishes to withdraw his notice claiming to exercise the right to buy after he has received the freeholder’s notice admitting or denying the right, he may do so by a notice in writing served on the freeholder.

(5) Where the tenant serves a notice of withdrawal on the freeholder, the freeholder shall, as soon as practicable, inform the landlord and the intermediate landlords (if any) of this fact.”.

SCH-1.7

7. In section 125 (landlord’s notice of purchase price and other matters) —

(a) for subsection (1) substitute —

SCH-1.1

“1 Where a secure tenant has claimed to exercise the right to buy and that right has been established (whether by the freeholder’s admission or otherwise), the freeholder shall within twelve weeks serve on the tenant a notice complying with this section.”;

(b) in subsection (2) —

(i) for the reference to the landlord substitute a reference to the freeholder, and

(ii) omit the words “or, as the case may be, the lease granted to him”;

(c) in subsection (3) —

(i) for the reference to the landlord substitute a reference to the freeholder, and

(ii) omit the words “or grant”;

(d) in subsection (4)2

(i) for the words “the landlord” substitute the words “the freeholder, an intermediate landlord or the landlord”,

(ii) omit the words “, or (b) improvement contributions,”, and

(iii) omit the words “or 125B (improvement contributions)”;

(e) in subsection (4A)3

(i) for the reference to the landlord substitute a reference to the freeholder, and

(ii) omit the words “or lease”; and

(f) in subsection (5) —

(i) at the end of paragraph (b) add the word “and”,

(ii) in paragraph (c), for the words “landlord’s notices” substitute the words “freeholder’s notices”, and

(iii) omit the word “and” at the end of paragraph (c) and omit paragraph (d).

SCH-1.8

8. In section 125A4(estimates and information about service charges) —

(a) in subsection (1) —

(i) for the references to landlord substitute references to freeholder, and

(ii) omit the words “(excluding, in the case of a flat, charges to which subsection (2) applies)”; and

(b) omit subsections (2) and (3).

SCH-1.9

9. Omit section 125B5(estimates and information about improvement contributions).

SCH-1.10

10. In section 125C5(reference period for purpose of s.125A) —

(a) in subsection (1) —

(i) omit the words “or 125B”,

(ii) in paragraph (a), for the reference to the landlord substitute a reference to the freeholder and omit the words “or the lease granted”, and

(iii) in paragraph (b), omit the words “or lease” and the words “or improvement contribution”; and

(b) in subsection (2), omit the words “or the lease granted”.

SCH-1.11

11. In section 126 (purchase price) —

(a) in subsection (1), omit the words “or grant”; and

(b) omit subsection (2).

SCH-1.12

12. In section 127 (value of dwelling-house) —

(a) in subsection (1) —

(i) for paragraph (a) substitute —

“(a)

“(a) on the assumptions stated in subsection (2),”, and

(ii) in paragraph (c)6, omit the words “or improvement contributions” and for the words “landlord’s notice” substitute the words “freeholder’s notice”;

(b) in subsection (2), omit the words “For a conveyance”; and

(c) omit subsection (3).

SCH-1.13

13.—(1) In section 128 (determination of value by district valuer) —

(a)...

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