Important Tribunal Decisions

Deferment Rate outside prime central London

Hildron Finance Ltd v Greenhill Hamsptead Ltd LTL

The Lands Tribunal allowed an appeal against the determination by the LVT of the value of the freehold interest in a block of flats using a 7% deferment rate. Although the property was in Hampstead and outside of prime central London, there was no evidence which justified a departure from the 5% rate adopted in Earl Cadogan v Sportelli (2006) RVR 382.

Effectively this decision indicates that at present the 5% deferment rate is very likely to apply to all flats even if they are located outside prime central London.

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