HOUSING, ENGLAND AND WALES PART I GENERAL Citation and commencement 1 These Regulations may be cited as the Housing (Change of Landlord) Regulations 1989 and come into force on 5th April 1989. General interpretation 2 1 In these Regulations — “ the Act ” means the Housing Act 1988; “added dwelling-house” means a dwelling-house which is included in the property to which the acquisition relates and which the landlord desired to have included in the acquisition by virtue of section 98(1) (d); “applicant” means a person who has made an application claiming to exercise the right conferred by Part IV of the Act; “business tenancy” means a tenancy to which Part II of the Landlord and Tenant Act 1954 applies; “consultation period” has the meaning given by regulation 14; “landlord” means a public sector landlord to whom an application has been made to exercise the right conferred by Part IV of the Act; “relevant date”, in relation to an added dwelling-house, means the date of the service of the section 98(1) notice but, subject to that, has the meaning given by section 93(5); “section 98(1) notice” means the notice served under section 98(1); “statutory successor” means a person who succeeds on the death of a secure tenant in accordance with sections 87 to 90 of the 1985 Act; “teller” has the meaning given by regulation 16(2); “the time of acquisition” means the time of completion of the grant or lease (as the case may be). 2 References in these Regulations to sections by number are references to sections bearing those numbers in the Act. PART II PARTICULARS TO BE SUPPLIED BY THE LANDLORD Particulars to be included in section 98(1) notice 3 The following particulars are prescribed for the purposes of section 98(1)(g) – a details of any property included in the application under section 96(1), or proposed for inclusion in the acquisition by the landlord in its section 98(1) notice, in which the landlord does not hold a fee simple estate; b where details of any tenancy or licence of property proposed to be acquired by virtue of section 93(1) (a) were not given to the applicant in the landlord’s notice under section 97(1), the name and address of such tenant or licensee and the general nature of his tenancy or licence; c in respect of any property proposed to be acquired by virtue of section 93(1)(b), or proposed for inclusion in the acquisition by the landlord in its section 98(1) notice, the name and address of every tenant or licensee of all or any part of that property and the general nature of his tenancy or licence; d in respect of any property which was included in the application under section 96(1) and which was not occupied (whether lawfully or unlawfully) on the relevant date, particulars of its occupation at the date of the service of the section 98(1) notice, including the name and address of any tenant or licensee of that property and the general nature of his tenancy or licence, and details of any other person in occupation whether lawfully or unlawfully. e in respect of property included in the application under section 96(1), particulars of any changes in the circumstances of its occupation not reflected in the landlord’s notice under section 97(1) including:– i whether the current occupant is a successor to a previous tenant or whether it is unoccupied; ii whether the landlord has taken a decision not to enforce an order by which, on the relevant date, the tenant was obliged to give up possession of the dwelling-house in pursuance of an order of the court or would have been so obliged at a date specified in such an order; f where any dwelling-house in a building proposed to be acquired under section 93(1)(a) is subject to an approved co-operative management agreement, particulars of that agreement and the address or description of each building or property which is subject to that agreement, indicating in respect of any property proposed to be acquired under section 93(1)(b) whether it is a building containing a dwelling-house subject to that agreement; g particulars of any flat which, in the opinion of the landlord, will be required in accordance with regulation 6(2) to be leased back to the landlord because it is occupied by a tenant of a description prescribed by regulation 7(a) to (c), including the circumstances on which the landlord relies in support of its opinion; h such particulars of any rights, covenants and conditions and other proposed terms of the conveyance specified by the landlord in its section 98(1) notice as it is necessary to have in order to understand the need for such rights, covenants, conditions or terms. PART III DETERMINATION OF DISPUTES Disputes as to property to be included etc. 4 Any dispute as to any matters stated in a section 98(1) notice shall be determined by the person referred to in section 98(5)(a) in accordance with the provisions prescribed in Schedule 1. Disputes as to matters relating to price or disposal cost 5 Any dispute as to any matters stated in a notice under section 99(1) shall be determined by the district valuer in accordance with the provisions prescribed in Schedule 2. PART IV EXCLUSION OR LEASE BACK OF DWELLING-HOUSES Exclusion or lease back of dwelling-houses in accordance with section 100 6 1 Any dwelling-house which is a house and is occupied by a tenant to whom section 100(2) applies shall be excluded from the acquisition. 2 Immediately after the acquisition, a lease of any dwelling-house which is a flat and is occupied by a tenant to whom section 100(2) applies or by a tenant of a description prescribed in regulation 7 below shall be granted by the applicant to the landlord. Tenants prescribed for the purposes of section 100(1)(b) 7 The following descriptions of tenants of flats are prescribed for the purposes of section 100(1)(b) – a a tenant whose tenancy is as described in any of paragraphs 2 to 7, 10 or 11 of Schedule 1 to the 1985 Act (tenancies which are not secure tenancies) who was in occupation on the relevant date, unless that tenancy is a business tenancy or a long tenancy; b a tenant of a flat which, on the relevant date, was occupied by a secure tenant in the circumstances set out in any of paragraphs 5, 7, or 9 to 11 of Schedule 5 to the 1985 Act (exceptions to the right to buy); c a secure tenant who – i on the relevant date was obliged to give up possession of the flat in pursuance of an order of the court or was to have been so obliged at a date specified in the order, and ii does not satisfy regulation 8(b) below; d a statutory successor to a qualifying tenant where the qualifying tenant had been consulted in accordance with section 102 and indicated his wish to continue to occupy the dwelling-house as tenant of the landlord; e a statutory successor to a qualifying tenant, where that qualifying tenant occupied on the relevant date but did not give notice in the prescribed manner whether or not he wished to remain a tenant of the landlord, and where that successor within the 21 day period ending at the end of the consultation period has provided the applicant with a certificate from his landlord to the effect that he is such a successor; f a qualifying tenant who has, within the 21 day period ending at the end of the consultation period, provided the applicant with a certificate from the landlord to the effect that his tenancy was, after the relevant date, assigned to him by way of exchange, by a qualifying tenant whose tenancy commenced before the relevant date. Tenants prescribed for the purposes of section 100(2)(b) 8 1 Tenants of the following descriptions are prescribed for the purposes of section 100(2)(b) where they continue to occupy the dwelling-house during the consultation period – a a qualifying tenant of an added dwelling-house whose tenancy commenced before the relevant date; b a secure tenant who is precluded from being a qualifying tenant by section 93(4)(a) and who, not less than 21 days before the end of the consultation period, has provided the applicant with a certificate from the landlord to the effect that it no longer intends to enforce the possession order against him; c a tenant whose tenancy began in the circumstances described in any of paragraphs 4, 5 or 10 of Schedule 1 to the 1985 Act and who, not less than 21 days before the end of the consultation period, has provided the applicant with a certificate from the landlord to the effect that, on the expiry of such period as is mentioned in the relevant paragraph, he has become a secure tenant. 2 A statutory successor to a qualifying tenant who occupied the dwelling-house on the relevant date and who, not less than 21 days before the end of the consultation period, has provided the applicant with a certificate from the landlord to the effect that he is such a successor is also prescribed for the purposes of section 100(2)(b). PART V TENANCIES OR LICENCES GRANTED AFTER THE RELEVANT DATE Tenancies or licences to which section 101 does not apply 9 Section 101 does not apply to – a a lease of a dwelling-house granted after the relevant date to a tenant of that dwelling-house whose tenancy commenced before the relevant date; b a tenancy or licence granted after the relevant date in respect of a dwelling-house which, on the relevant date, was as described in any of paragraphs 5, 7, or 9 to 11 of Schedule 5 to the 1985 Act; c a tenancy or licence of property which the landlord proposes for exclusion in its section 98(1) notice on any of the grounds mentioned in paragraphs (a) to (c) of that provision, being a tenancy or licence granted – i where the applicant does not dispute its exclusion, after the expiry of the period of four weeks from the service of that notice, or ii where he disputes its exclusion, on the resolution of the dispute in favour of its exclusion. Notice to applicant of grant of a tenancy or licence to which section 101 applies 10 The landlord shall at the same time as it grants a tenancy or licence to which section 101 applies, serve notice of that grant on the applicant at the address given by it in its notice under section 96. Notice to tenant or licensee of a tenancy or licence to which section 101 applies 11 The landlord shall, when granting a tenancy or licence to which section 101 applies, give notice of the effect of that section to the tenant or licensee. Vacant possession 12 1 The landlord shall, on the service of the notice of intention to proceed under section 103(1), serve a notice to quit on each tenant or licensee to whose tenancy or licence section 101 applies. 2 The landlord shall use its best endeavours to secure vacant possession at the date of the grant referred to in section 104(1)(a) of any property which is subject to a tenancy or licence to which section 101 applies, including, if necessary, enforcing the right to recover possession by applying to the court for, and enforcing, an order for possession. 3 If, at the date of such grant, the landlord fails to give vacant possession of any property subject to a tenancy or licence to which section 101 applies, any costs or expenses attributable to the recovery of vacant possession by the applicant and any losses consequent upon the failure of the landlord to give vacant possession shall be recoverable by the applicant as a simple contract debt. Disapplication of section 101 13 1 Section 101 ceases to apply – a when any relevant period (or such period as extended in accordance with section 110(2)) expires without the applicant doing what he is required to do within that period, to all property proposed to be acquired; or b where the landlord has specified property in its section 98(1) notice as property to be excluded on the grounds mentioned in paragraphs (a) to (c) of section 98(1), in relation to that property – i where the applicant does not dispute its exclusion, on the expiry of the period of four weeks from the service of that notice, or ii where it disputes its exclusion, on the resolution of the dispute in favour of its exclusion. 2 Where section 101 ceases to apply to property at any time, the landlord shall forthwith notify the tenant or licensee and may, within the period of four weeks beginning with the date of that notification, serve notice to quit in accordance with section 101(3), but nothing in this regulation shall make a tenancy or licence to which section 101 applies a secure tenancy unless the landlord notifies the tenant or licensee that the tenancy or licence is so to be regarded. PART VI CONSULTATION The prescribed period for consultation 14 The prescribed period for consultation (in these Regulations referred to as “the consultation period”) is the period beginning with – a if there is a determination by the district valuer under section 99, notification to the applicant of that determination; b if there is no such determination, service of the landlord’s notice under section 99; and ending at the end of the period of fourteen weeks beginning with the date of the giving of that notification or the service of that notice as the case may be. Tenants prescribed for the purposes of section 102 15 Tenants of the following descriptions are prescribed for the purposes of section 102 – a a tenant who was on the relevant date a business tenant and continued to be such a tenant during the consultation period; b a tenant of an added dwelling-house under a long tenancy who occupied the dwelling-house on the date of the service of the section 98(1) notice and continued to occupy it during the consultation period; c a qualifying tenant of a dwelling-house who has, not less than 21 days before the end of the consultation period, provided the applicant with a certificate from the landlord to the effect that his tenancy was, after the relevant date, assigned to him by way of exchange, by a qualifying tenant whose tenancy commenced before the relevant date and who did not give notice in the prescribed manner whether or not he wished to remain a tenant of the landlord. Prescribed provisions as to consultation 16 1 The applicant shall, within seven weeks of the beginning of the consultation period, serve on each tenant to whom section 102 applies who has not given a notification in accordance with paragraph (7) below the information specified in and in accordance with Schedule 3. 2 The applicant shall engage a person independent from him (in these Regulations referred to as the “teller”) to whom the tenants consulted under section 102 shall give notice of whether or not they wish to continue as tenants of the landlord. 3 The applicant shall secure that the teller shall, not sooner than 7 days or later than 10 days from the service of the information described in paragraph (1) above, serve on each tenant referred to in that paragraph (or, where the tenancy is held by two or more persons jointly, those tenants jointly) – a a notice for giving notice of his (or their) wishes (in the form prescribed by regulation 3(g) (form 7) of the Housing (Change of Landlord) (Prescribed Forms) Regulations 1989 ) (in this and the following regulation referred to as “the notice of decision”); b a description of the provisions in regulation 17 below; c a reply paid envelope for return of the notice to the teller by post; d a statement as to the nature of his tenancy, and the consequences for him of giving notice of a wish to continue as the tenant of the landlord or of a wish to become a tenant of the applicant, or of giving no notice in the event that the acquisition takes place. 4 The applicant shall secure that anything required by this regulation to be served on the tenant is served on him at his address at the property proposed to be included in the acquisition or, if he notifies the applicant before the service of the information referred to in paragraph (1) above that he wishes to be served at a different address, at that address. 5 The applicant shall secure that, where a tenant served with information in accordance with paragraph (1) above has not within a period of four weeks beginning with the date of service of that information returned the form giving notice of his wishes, the teller shall use his best endeavours to visit the tenant within the consultation period to explain the effect of regulation 17 and the consequences of failure to give notice of his wishes. 6 Where a tenant provides the applicant with a certificate as described in regulation 8(1)(b) or (c), (8)(2) or 15(c) above after the applicant has complied with paragraph (1) above in relation to other tenants, the applicant shall within seven days of that provision serve on the tenant the information specified in Schedule 3, and shall secure that the teller shall, within those seven days, serve on the tenant the items referred to in paragraph (3) above, but the applicant need not comply with paragraph (5) above. 7 Where, before the service of the information referred to in regulation 16(1), a tenant other than a joint tenant notifies the applicant that he will, or is likely to, be absent from the property in which he holds his tenancy during the whole or a substantial part of the period between that notification and the end of the consultation period, and there is no convenient different address for service, the applicant shall, after the beginning of the consultation period, supply that tenant with an absentee’s notice of decision, and a reply paid envelope for the return of the notice to the applicant by post, and where the tenant within the consultation period returns the notice by post or by delivering it to the applicant, he shall give it unopened to the teller. 8 In this and the following regulation “an absentee’s notice of decision” means the notice for giving notice of a tenant’s wishes prescribed by regulation 3(f) (form 6) of the Housing (Change of Landlord) (Prescribed Forms) Regulations 1989. Prescribed manner for tenants to indicate their wishes 17 1 Subject to paragraph (2) below, a tenant giving notice of his wish to continue as the tenant of the landlord or to become the tenant of the applicant shall complete the decision notice and shall within the consultation period return such notice to the teller by one of the following methods – a by post; b by delivering the notice to the teller. 2 Where a tenant has been supplied by the applicant with an absentee’s notice of decision in accordance with regulation 16(7) he shall give notice of his wish by completing that notice of decision and returning it by post or by delivering it to the applicant within the consultation period. PART VII PRESCRIBED COVENANTS Covenants under section 103 18 1 An applicant may in all circumstances inform the landlord that he wishes to enter into a prescribed covenant in accordance with section 103(1). 2 The covenant prescribed for the purposes of section 103(1) is a covenant in writing by the applicant to pay the landlord an amount determined in accordance with paragraph (4) on the occasion of any prescribed disposal occurring not more than 15 years after the time of acquisition. 3 A disposal of a dwelling-house to a tenant of that dwelling-house is a disposal prescribed for the purposes of section 103(1)(a). 4 The amount referred to in paragraph (2) is 65 per cent., or such other percentage as may be agreed by the parties, of the total consideration for the disposal of the dwelling-house by the applicant. PART VIII REQUIREMENTS OF GRANT OF FEE SIMPLE AND LEASES BACK Requirements of grant of fee simple and leases back 19 A grant of an estate in fee simple absolute in accordance with section 104(1)(a) or a grant of a lease in accordance with section 104(1)(b) shall comply with the requirements prescribed in Schedule 4. Nicholas Ridley Secretary of State for the Environment 6th March 1989 Peter Walker Secretary of State for Wales 6th March 1989