Extending a Lease in Gillingham: What Every Flat Owner Should Know

Leasehold flats are common across Gillingham especially in areas like Gillingham High Street, Duncan Road, Pier Road, and Rainham. Many of these properties were originally sold with 99-year leases during the 1980s and 1990s. That means thousands of leases are now approaching the critical 80-year mark, beyond which the cost of extending rises significantly. Acting early can save you thousands and protect your flat’s value.

Why Extend Your Lease?

If your lease has fewer than 85 years remaining, you’re already on the radar of cautious lenders and prospective buyers. But the real tipping point is 80 years. Once your lease drops below this threshold, marriage value becomes payable — a legal calculation that significantly increases the premium you must pay to the freeholder. This can add several thousand pounds to the cost.

Additionally, a short lease can make your flat harder to sell or remortgage. Buyers will typically expect a price reduction, or may be unable to secure a mortgage at all. Extending your lease before it reaches 80 years avoids these problems and helps preserve both your flexibility and your investment.

What’s Involved in the Process?

Under the Leasehold Reform, Housing and Urban Development Act 1993, most flat owners have a statutory right to extend their lease by 90 years and reduce the ground rent to zero. You qualify for this right if you’ve owned your flat for more than two years (even if you’ve never lived there).

The process involves several key stages:

1. Valuation We carry out a formal lease extension valuation to calculate the premium payable. This considers lease length, ground rent, market value, and the concept of relativity (how lease length affects value).

2. Serving Notice Your solicitor then serves a Section 42 notice on the freeholder, stating your intention to extend and proposing a premium.

3. Negotiation Once the freeholder responds, there's usually a negotiation period. Our valuation report gives you the evidence you need to negotiate fairly — and avoid overpaying.

4. Completion Once terms are agreed, solicitors complete the lease extension and register it with the Land Registry.

We work closely with your solicitor and manage the valuation side of the process — including comparables, relativity calculations, and marriage value analysis.

Example from Gillingham

A recent client in ME7 contacted us with a lease of just 79 years remaining. Their solicitor received a quote of £14,000 from the freeholder for a lease extension. We carried out a detailed valuation and successfully negotiated the figure down to £11,500, saving the client over £2,500 — and preventing further costs had they waited longer.

Don’t Wait Until It’s Too Late

If you're in Gillingham, Rainham, or surrounding areas and your lease is approaching 80 years — or already under it — now is the time to act. The sooner you extend, the lower the premium and the smoother the process.

📞 Contact Olden Property today for a no-obligation quote or to book your lease extension valuation.