Right to Manage (RTM) explained

Right to Manage (RTM) lets leaseholders of a qualifying building take over its management without proving the landlord is at fault and without paying for the privilege. It was introduced by the Commonhold and Leasehold Reform Act 2002.

What RTM does — and doesn't — do

RTM transfers management functions (repairs, maintenance, services, insurance and service-charge administration) to a company the leaseholders control. It does not transfer ownership of the freehold, and it doesn't wipe out existing obligations in your lease — you still pay service charges, just to a company you run.

Does your building qualify?

The main qualifying conditions are:

The building contains flats (it can be the whole building or a self-contained part).
At least two-thirds of the flats are let to "qualifying tenants" — leaseholders on long leases (originally granted for more than 21 years).
At least half the participating members of the RTM company are needed: membership must equal at least 50% of the total flats.
Limits apply to how much of the building can be non-residential (e.g. shops on the ground floor). This threshold has been a focus of recent leasehold reform, so check the current limit.

Note: Leasehold law in England & Wales is changing under the Leasehold and Freehold Reform Act 2024, including the rules that affect RTM eligibility and costs. Confirm the current position before serving notice.

How the process works

Form an RTM company — a company limited by guarantee, set up specifically for the purpose, with the right articles.
Recruit members — get enough qualifying leaseholders to join to meet the threshold.
Serve a claim notice on the landlord, following the statutory form and timing rules.
Landlord's counter-notice — the landlord can dispute eligibility (but cannot refuse a valid claim).
Acquisition date — management transfers on the date set out in the process, after which the RTM company runs the building.

Choosing a managing agent for an RTM

Most RTM companies appoint a professional managing agent to do the day-to-day work. Look for one with genuine RTM and leasehold experience — many of the firms in our directory flag this. You can find accredited managers by area.

This guide is general information about leasehold in England & Wales, not legal advice. Rules differ in Scotland and Northern Ireland, and leasehold law is changing — check your lease and current guidance, or take professional advice, before acting.

Last updated June 2026.