Paragraph 4 New ground for possession after rent-to-buy agreementI1I2

After Ground 1A (inserted by paragraph 3 of this Schedule) insert—

• “Ground 1B

  The following conditions are met—

  1. (a)

     the landlord who is seeking possession intends—

     1. (i)

        to sell a freehold or leasehold interest in the dwelling-house,

     2. (ii)

        to grant a lease of the dwelling-house for a term certain of more than 21 years which is not terminable before the end of that term by notice given by or to the landlord, or

     3. (iii)

        to grant an assured tenancy to another person;

  2. (b)

     the assured tenancy on which the dwelling-house is let did not come into being by virtue of any provision of Schedule 1 to the Rent Act 1977 or section 4 of the Rent (Agriculture) Act 1976;

  3. (c)

     the landlord who is seeking possession is a private registered provider of social housing;

  4. (d)

     the assured tenancy was entered into pursuant to a rent-to-buy agreement;

  5. (e)

     the period stated in that agreement has expired;

  6. (f)

     the landlord who is seeking possession has complied with—

     1. (i)

        any provision of the rent-to-buy agreement requiring the landlord to offer the dwelling-house for sale to the tenant, and

     2. (ii)

        any requirements in the agreement about such an offer.

  In this ground—

  • “rent-to-buy agreement” means an agreement in writing which—

    1. (a)

       provides for the tenant to pay rent that is no higher than 80% of market rent (and here “rent” and “market rent” include any amount payable by way of service charge), and

    2. (b)

       gives notice that the landlord intends after a period stated in the agreement which is not less than 5 years or, for dwelling-houses in Greater London, 10 years from the beginning of the tenancy to offer the dwelling-house for sale to the tenant.”