Right to Manage

The Right to Manage (RTM) is an act introduced through the Commonhold and Leasehold Reform Act 2002. The act enables leaseholders to take over the management of their property, via setting up a right to manage company.

RTM is important for leaseholders. They do not require the landlord’s permission, nor do they need to prove any mismanagement or obtain any court case to exercise the right. However, it does come with responsibilities, and that is where appointing a professional management agent assists greatly.


In order to qualify for RTM the following must be met:

  • At least two-thirds of the flats must be let to ‘qualifying tenants’.
  • It can be part-commercial but the non-residential part must not exceed 25% of the total floor area, excluding common parts.
  • RTM does not apply where the immediate landlord of any qualifying tenant is a local housing authority.
  • RTM does not apply where the premises fall within the Resident Landlord Exemption. To fulfil this exemption would require the following:
    • The premises must be other than a purpose-built block (for example a converted house); AND
    • They must comprise not more than four flats; AND
    • One of the flats must be occupied by the freeholder or an adult member of their family as their only or principal home for the last twelve months.

Plymouth Block Management can assist in the RTM process, providing consulting services.


Plymouth Block Management welcome RTM companies to appoint us as your managing agent, and believe in appointing an ARMA member you will be pleased with the new management decision.


If you have any questions, please do contact us via phone (01752 257338) or email (info@plymouthblockmanagement.com).