HC Deb 09 March 1966 vol 725 cc588-9W
Mr. Norwood

asked the Minister of Land and Natural Resources (1) what would be the enfranchisement value estimation of a house in Norwich valued at £2,500 with vacant possession with 30, 20 and 10 years, respectively, of the lease yet to run with a ground rent of £10 per annum and no development value attached under the proposals for leasehold reform;

(2) what would be the enfranchisement value estimation of a house in Norwich valued at £1,500 with vacant possession with 30, 20 and 10 years, respectively, of the lease yet to run with a ground rent of £10 per annum and no development value attached under the proposals for leasehold reform.

Mr. Willey

As I have already made clear, the actual price for enfranchisement is in the first instance a matter for negotiation between the parties concerned, and any example I may quote must be treated as hypothetical and not applicable to any specific case whatever the apparent similarity. There is a further risk in quoting numerous examples, because of the effect they may have upon individual transactions.

I appreciate, nevertheless, that some illustrations, although on an explicitly hypothetical basis, may be welcome, and I therefore would like to cite two, with different periods of the existing lease to run. Both relate to houses of a type found in East Anglia, the first having been built in 1873, the other in 1908, on sites leased for 99 years at low ground rents, and with estimated vacant possession values of £2,500 and £1,750 respectively. In the first example the estimated price for enfranchisement would be approximately £450, in the later, say, £60.