The need to obtain the consent of the Secretary of State for dispositions by RPs relating to properties subject to the standard Section 133 LSVT restriction ceased to apply pursuant to the amendments introduced by Schedule 4, Part 1 of the Housing and Planning Act 2016.

As a consequence, properties that traditionally have only been capable of achieving an EUV-SH valuation for charging purposes can now potentially realise an MV-STT value.

How this can be achieved

• We can advise you on your ability to achieve an uplift by carrying out a review of the relevant LSVT documentation – the transfer will have imposed certain restrictions and covenants, the precise wording of which will be critical to achieving an uplift.
• You will need to review your loan documentation and liaise with the funders which currently rely upon the properties as security, to establish if the documentation and those funders will allow an uplift to MV-STT.
• You will need to obtain input from your valuers to ascertain whether the properties are within a geographical location which will enable MV-STT value to be attributed to them.

Once it has been determined that the value of the ex-LSVT units is capable of being uplifted, taking into account all of the above, we can then assist by preparing Certificates of Title for these properties which will be required before the uplift can be achieved, as the lenders take the view that the Deeds of Warranty are insufficient for that purpose.