Ground Rent Demand for Long Residential Lease

This Ground Rent Demand for Long Residential Lease should be used to demand ground rent from a tenant under a long lease. Long leases (those exceeding 21 years) frequently require a leaseholder to pay an annual ground rent. The lease will specify who has to pay the rent and the amount payable. 

The Leasehold Reform (Ground Rent) Act 2022

As of 30 June 2022, landlords are only permitted to charge a ground rent of one peppercorn per year for new long residential leases granted after this date. Landlords are also prohibited from charging administrative fees for collecting a peppercorn rent. Failure to comply with the Act can result in severe financial penalties.

Some types of leases are excluded from the Act, including:

• business leases;
• community housing leases; 
• home finance leases

Please note that some lease extensions may be caught under the Act, if this applies to you, legal advice should be sought. 

This Rent Demand Notice is applicable to existing residential leases which charge ground rent. 

Ground Rent Demand Notice 

Section 166 of the Commonhold and Leasehold Reform Act 2002 and The Landlord and Tenant (Notice of Rent) (England) Regulations 2004  states that a tenant under a long lease of a dwelling is not liable to make a payment of rent under the lease unless the landlord has given the tenant notice in writing specifying – 

• The amount of rent
• The date on which it is payable; and 
• The period in respect of which it is payable

The notice must also:

• Be given not less than 30 days and not more than 60 days before the date specified as the date on which the rent is payable, and
• Be in the prescribed form.

Please note if the notice is sent by post, it must be addressed to the tenant at the property address, unless the tenant has notified the landlord in writing of a different address in which case that one must be used.  Landlords must exercise caution when posting notices. 

Completing The Form 

If this prescribed form of Rent Demand is not used, or is not completed properly, the tenant is not required to pay his or her rent until a proper demand is made. It is therefore vital that the landlord fills in the form correctly. The form includes Notes for Landlords which should be followed carefully.  If you are unclear about any aspect of the form you should seek legal advice. 

Additional Landlord Obligations Under The Landlord and Tenant Act 

Section 47 of the Landlord and Tenant Act 1985 Act requires that the tenant must be provided with the name and address of the landlord on any demand for rent or other sums due under the terms of the tenancy or long lease. Failure to provide such information will mean the landlord will be unable to enforce the amount demanded.  In order to comply with section 47 of the Landlord and Tenant Act 1987, the address must be the landlord’s own address and not that of the landlord’s agent. The section 47 notice can be found here: Rent Demand for Residential Tenancy (Section 47 Notice). 

Section 48 of the Landlord and Tenant Act 1987 requires landlords to provide the tenant with an address in England and Wales where notices may be served on the landlord. This notice is usually served on tenants at the start of their tenancy and is usually contained in the tenancy agreement itself, however if there is a change during the tenancy the tenant will need to be served with a  Section 48 Notice of Landlord’s Address. 

This Ground Rent Demand for Long Residential Lease is in open format. 

Optional phrases / clauses are enclosed in square brackets. These should be read carefully and selected so as to be compatible with one another. This Ground Rent Demand for Long Residential Lease is in open format. Simply enter the relevant details on the dotted lines. The remainder of the form (including the Notes for Leaseholders and Notes for Landlords) should not be altered.

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