Case timeline · Section 42 lease extension
From notice to new lease,
six months of statutory dates.
Below is the statutory journey of a Section 42 lease extension under the Leasehold Reform, Housing and Urban Development Act 1993 — the most common leasehold matter UK conveyancing firms handle. LeaseFlow plots every one of these dates onto the matter timeline automatically.
Initial notice served (Section 42)
The qualifying tenant serves a Section 42 notice on the competent landlord (and any third-party intermediaries). The notice fixes the premium offered, sets the valuation date and starts the statutory clock.
Artefacts produced
- Section 42 notice
- Office copy entries
- Lease (registered title)
- Proof of qualifying ownership
Where it goes wrong
The Section 42 notice must be signed personally by the tenant — not by the solicitor — and served before the lease falls below 80 years remaining if marriage value is to be avoided.
Counter-notice received
The landlord must serve a counter-notice within 2 months of the Section 42, admitting or disputing the right to extend, and proposing their own premium. Failure to serve a valid counter-notice is the tenant's gift.
Artefacts produced
- Counter-notice
- Landlord's evidence of competence
- Any disputes over qualifying status
Where it goes wrong
If the landlord misses the 2-month window the tenant can apply to court for vesting on the terms originally proposed — but the statutory window is short and unforgiving.
Valuations exchanged
Both sides instruct valuers to determine the premium under Schedule 13 of the 1993 Act — diminution in landlord's interest, marriage value (if applicable), and compensation. Valuers usually meet on-site.
Artefacts produced
- Tenant's Schedule 13 valuation
- Landlord's Schedule 13 valuation
- Comparable evidence pack
Where it goes wrong
If the parties cannot agree on the valuation date, the marriage-value calculation or the deferment rate, the matter must move to the First-tier Tribunal — adding 6+ months.
Terms negotiated
Surveyors and solicitors negotiate the premium, lease drafting points (modernised covenants, rights, restrictions) and the landlord's reasonable costs (valuation fees + legal fees recoverable from the tenant).
Artefacts produced
- Draft new lease
- Heads of terms
- Schedule of landlord's costs
Where it goes wrong
Landlord's costs are strictly limited under section 60 of the 1993 Act — anything outside that scope is not recoverable from the tenant.
Tribunal application (if needed)
Either party may apply to the First-tier Tribunal (Property Chamber) between 2 and 6 months from the date of the counter-notice. Miss the 6-month long-stop and the Section 42 notice is deemed withdrawn.
Artefacts produced
- Notice of application
- Statement of case
- Bundled evidence
- Listing direction
Where it goes wrong
The 6-month window is a hard statutory deadline. A missed application means restarting the entire process — and the tenant pays the landlord's costs of the abortive matter.
New lease drafted & engrossed
Once terms are agreed (by negotiation or by tribunal determination), the new lease — 90 years on top of the existing term, peppercorn ground rent, modernised covenants — is drafted, engrossed and signed.
Artefacts produced
- Engrossed new lease
- Form RX1 / DL
- Signed counterpart
- Completion statement
Where it goes wrong
The new lease must be granted within 2 months of the binding agreement (or the tribunal order becoming final) — otherwise either party may apply to court to compel completion.
Completion & registration
Premium is paid, the new lease is granted, the old lease is surrendered, and the new lease is registered at HM Land Registry. The matter is closed and the file archived for SRA retention purposes.
Artefacts produced
- Land Registry application (AP1)
- TR1 / DL
- Notice of new lease to mortgagee
- Closed matter file
Where it goes wrong
SDLT may be payable on the premium — assess against current HMRC thresholds. Notice of the new lease must also be given to any mortgagee within the timeframe required by the lender's instructions.