# Leasehold Reform Act 1967, Paragraph 2

Extent: E+W

(1) A lease which—
(a) was granted at a premium by a body mentioned in sub-paragraph (2), and
(b) complies with the conditions set out in sub-paragraph (3),
is excluded from the operation of this Part at any time when the interest of the landlord belongs to such a body , to a relevant housing provider or to a person who acquired that interest in exercise of the right conferred by Part IV of the Housing Act 1988.
(2) The bodies are—
(a) a county, county borough, district or London borough council, the Common Council of the City of London or the Council of the Isles of Scilly;
(b) . . . a joint authority established by Part IV of the Local Government Act 1985;
(ba) a fire and rescue authority created by an order under section 4A of the Fire and Rescue Services Act 2004;
(bb)
the London Fire Commissioner;
(bc) a Mayoral development corporation;
(c) the new towns residuary body or a development corporation established by an order made, or having effect as made, under the New Towns Act 1981;
(d) an urban development corporation within the meaning of Part XVI of the Local Government, Planning and Land Act 1980;
(e) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(f) a housing action trust established under Part III of the Housing Act 1988
(3) The conditions are that the lease–
(a) provides for the tenant to acquire the freehold for a consideration which is to be calculated in accordance with the lease and which is reasonable, having regard to the premium or premiums paid by the tenant under the lease, and
(b) states the landlord’s opinion that by virtue of this paragraph the tenancy will be excluded from the operation of this Part of this Act at any time when the interest of the landlord belongs to a body mentioned in sub-paragraph (2) above or to a relevant housing provider.
(4) If, in proceedings in which it falls to be determined whether a lease complies with the condition in sub-paragraph (3)(a), the question arises whether the consideration payable by the tenant on acquiring the freehold is reasonable, it is for the landlord to show that it is.
(5) In this paragraph “relevant housing provider” means–
(a) in relation to a lease of social housing within the meaning of Part 2 of the Housing and Regeneration Act 2008, a private registered provider of social housing, or
(b) a registered social landlord within the meaning of Part 1 of the Housing Act 1996.

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Source: https://www.legislation.gov.uk/ukpga/1967/88/schedule/4A/paragraph/2 (the official version)
Page: https://openlegislation.uk/leasehold-reform-act-1967/schedule-4A/paragraph-2
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.