Cravecrest Ltd. v Second Duke of Westminster, Trustees of the Will of & Anor

Cravecrest Ltd. v Second Duke of Westminster, Trustees of the Will of & Anor

The statutory exclusion in paragraph 3(1) of schedule 6 applies only to the interest being purchased and does not extend to subsequent sales of other interests; development hope value is properly included in the price payable for intermediate leases; the Tribunal's approach to hypothetical enquiries and responses is permissible and reflects real market behaviour.

Parties
Appellant: Cravecrest Limited; 1st Respondent: Trustees of the Will of the Second Duke of Westminster; 2nd Respondent: Vowden Investments Limited
Jurisdiction
England and Wales
Judgment Date
19 June 2013
Procedural Posture
Appeal / Judgment
Outcome
Appeal dismissed
Legal Topics
Collective Enfranchisement, Valuation of Leasehold Interests, Development Hope Value, Statutory Interpretation
Property Law Landlord and Tenant Law Collective Enfranchisement Valuation of Leasehold Interests Development Hope Value Statutory Interpretation

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 4 Authorities cited 18 Party arguments 2 Amounts and remedies 14
Sign in to unlock

Parties

Cravecrest Limited

Appellant

Trustees of the Will of the Second Duke of Westminster

1st Respondent

Vowden Investments Limited

2nd Respondent

Procedural Posture

Appeal / Judgment

Legal Issues

  1. 1 Whether development hope value should be included in the price payable for intermediate leases under the Leasehold Reform, Housing and Urban Development Act 1993
  2. 2 Whether a hypothetical purchaser's enquiries and responses should be assumed in open market valuation under schedule 6

Ratio Decidendi

The statutory exclusion in paragraph 3(1) of schedule 6 applies only to the interest being purchased and does not extend to subsequent sales of other interests; development hope value is properly included in the price payable for intermediate leases; the Tribunal's approach to hypothetical enquiries and responses is permissible and reflects real market behaviour.

Court Disposition

Appeal dismissed

Orders

  • The Tribunal's determination of the price payable for intermediate leases is upheld.
  • Development hope value is included in the valuation.