1. What is Right to Manage (RTM)?

RTM (Right to Manage) gives leaseholders the legal right to take over the management of their building from the freeholder, without having to prove any fault or mismanagement. It means you and your neighbours can collectively decide how your building is run, including how service charges are spent and which managing agent is appointed.

2. Do we need the landlord’s permission to set up an RTM company?

No. You don’t need the landlord’s permission to exercise your Right to Manage. As long as your building qualifies and you follow the correct legal process, you can take over the management.

3. Does the building qualify for RTM?

Your building must meet the following criteria:

- It must contain flats (not houses)

- At least two-thirds of the flats must be leasehold with leases over 21 years

- No more than 25% of the building’s floor area can be non-residential (e.g. shops)

- At least 50% of the leaseholders in the building must support the RTM

- The building must be self-contained or capable of being managed independently

4. How many leaseholders do we need to set up an RTM company?

You need at least 50% of qualifying leaseholders in your building to join the RTM company to serve a valid claim notice.

5. What does the RTM company actually do?

Once the RTM company takes over, it’s responsible for:

- Managing the building’s upkeep

- Setting and collecting service charges

- Hiring contractors (cleaning, maintenance, etc.)

- Appointing a managing agent (if desired)

- Complying with building safety and legal obligations

6. Will we have to manage everything ourselves?

Not unless you want to! Most RTM companies appoint a professional managing agent (like M2 Property) to handle the day-to-day tasks. You’ll still have control over decisions, but without the admin burden.

7. What happens to the freeholder’s role?

The freeholder still owns the building and retains certain rights, such as receiving ground rent and approving major works (depending on your lease terms). But the RTM company becomes responsible for the management side of things.

8. Can the landlord stop us?

They can challenge the claim if they believe your building or RTM company doesn't qualify, but they cannot refuse simply because they don’t like the idea. If there’s a dispute, it will be settled by the First-tier Tribunal.

9. How long does the RTM process take?

On average, the process takes 4–6 months, depending on how quickly leaseholders respond and whether the landlord challenges the claim.

10. Will it save us money?

It can. With more control, you can:

- Choose contractors that offer better value

- Set fairer service charge budgets

- Eliminate unnecessary management fees

- Cost savings vary by building, but many leaseholders report better value and improved transparency.

11. Is there a cost involved?

Yes, but it’s usually shared among participating leaseholders. Costs may include:

- Legal and admin fees

- Company registration

- Tribunal costs (if applicable)

- Professional advice

M2 Property can help estimate these based on your building size and needs.

12. What if not everyone wants to join?

That’s okay. As long as 50% or more of leaseholders participate, the RTM company can go ahead. Other leaseholders aren’t required to join, but they will still pay service charges to the RTM company once it's in place.

13. Can we reverse the RTM later if we change our minds?

It’s possible to dissolve the RTM company or hand back management, but it's not a quick process. It’s worth getting professional advice before starting RTM to make sure it’s the right path.

14. How do we get started?

Start by having conversations with other leaseholders to build interest and support. Then speak with a professional (like M2 Property) who can guide you through the next steps—setting up the RTM company, serving notices, and managing the handover.

Still Have Questions?

We’re here to help. If you’re a leaseholder curious about Right to Manage—or ready to take the first step—get in touch with the team at M2 Property. We’ll walk you through it and support you at every stage.