Leaehold enfranchisement

Can indexation be used over an extended period when estimating leasehold value?

  • PP 2019/111
When estimating the value of the extended leasehold interest in a subject property, is the use of indexation of transaction prices to the valuation date reliable over long periods of time? This issue was considered by the Upper Tribunal in Mrs Ohunene Oliyide v Elmbirch Properties plc [2019] UKUT 190 (LC). Mrs Oliyide purchased a small one-bedroom flat in the Rotton Park Road area of Birmingham in 2007 for £92,000. The ground rent payable was £90 per annum for 32.83 years and £180 per annum for 33 years thereafter. The unexpired lease term was 65.83 years. Mrs Oliyide served notice
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