What is a licence to alter for freeholder consents?

Do I need a licence to alter?

If you plan to alter or extend your leasehold property, a key consideration is the licence to alter for freeholder consent. It is important to ensure you have all the proper permissions needed before starting work.

Before making certain changes to a leasehold property, a legal document called a ‘licence for alterations’ is needed. This is a formal consent from the landlord, which describes the alterations to be carried out and any associated conditions. This licence is not usually needed with freehold properties in London unless you live in one of the Great Estates.

A licence to alter does not remove the requirement for planning permission and building regulations approvals, which may also be needed, depending on the scope of the works.

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Common works that may need a licence to alter

It’s always best to check your lease before considering making any changes within the property, and consider informally discussing with your freeholder. Generally, undertaking internal repairs does not require consent, but a licence is needed for material works or alterations to the structure of the property. Some examples being: 

• Moving structural walls 
• Relocating or adding kitchens or bathrooms 
• Extending the property 
• Changing windows or doors 
• Loft conversions 
• Creating open plan layouts 
• Exterior additions 

However, smaller changes may also require a licence to alter. Seemingly insignificant changes to a flat, such as replacing carpet with hardwood flooring, may require permission, as the works may impact the neighbours below.  

Freeholders can only refuse to give a license to alter for a legitimate reason, so they shouldn’t unreasonably withhold consent. Such reasons may include concern that the works will decrease property value, impact neighbours or weaken the building’s structure. Before considering making any major works to your property, it’s always best to review your lease with a solicitor. 

Why do I need a licence for alterations?

If you make a change without obtaining permission from the freeholder, which would be your landlord, local council or housing association, then you may be in breach of your lease. In this case, you might have to pay for restoring the property to its original condition.

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Without a licence to alter in place, selling the property will be difficult. Seeking consent after the fact is more costly and time-consuming, and you may even risk losing the lease to the property or having your freeholder take enforcement action against you. Overall, you may end up spending more money and delaying a potential sale, which may further increase costs.

A rear extension to a leasehold maisonette at De Beauvoir House

Obtaining a licence for alteration

To obtain the licence, descriptions of the works should be provided to your freeholder, along with drawings and structural calculations. The freeholder will then consider the impact of the works and decide whether consent will be granted or not.

If granted, their solicitor will then draft a licence for alteration, which should then be reviewed by your solicitor to ensure your needs are met. A licence to alter is then legally binding (once signed) and should include the following general points:

• A written description of the works
• Details of who is responsible for what during the works
• Health and safety measures
• Who pays for the cost of the licence
• Details of insurance
• Details of an obligation to respect other tenants or neighbours

Alterations to a ground and lower ground floor maisonette at North London House

Alterations in the Great Estates of London

If you live on a Great Estate in a prime area of London, a unique set of responsibilities accompanies ownership. These estates are often controlled by long-standing families or historic institutions that maintain strict oversight to preserve their heritage, architectural integrity, and property value. They include: the Cadogan Estate, Crown Estate, Grosvenor Estate, Howard de Walden Estate, Portman Estate and Bedford Estates.

While living in these areas is highly desirable, making alterations to a leasehold property within a Great Estate can involve more complex procedures than in a typical leasehold.

When altering a property that has a rich architectural history, obtaining approvals becomes a key part of the process. The need for a licence to alter may extend beyond just structural changes. Great Estates often impose stricter regulations on modifications to the property, even in relation to the colour scheme of windows, doors and decorative features. 

These alterations are heavily regulated because any change could affect not only the structure but also the overall appearance of the building. For example, a seemingly minor alteration to the exterior of one building could disrupt the architectural harmony of an entire street.

A refurbishment of a GII listed maisonette in Bayswater

Additionally, many Great Estates are listed buildings, meaning that these properties have further protected status, requiring listed building consents. This ensures that any work done is in line with the historic and cultural significance of the building.

Most Great Estates are managed by property management teams or agents who act on behalf of the freeholder. When submitting proposals for alterations, you’ll need to provide detailed plans, often demonstrating how the changes will respect the building’s character. Due to the architectural significance of these estates, the approval process can be more rigorous than for standard leasehold properties.

Cost of obtaining a licence to alter

The cost of the licence is dependent on a few factors, including the size of the property, the location and the type of work that you would like to do. But expect to pay anything from £400 to £2,000.

Summary

Obtaining a licence to alter is a necessary step for any leaseholder wishing to make material alterations to their property. Though the process can be protracted, it ensures that your works comply with your lease, prevents possible problems in any future sale and protects the integrity of the property.

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