House purchase - negative covenant

House purchase - negative covenant

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Discussion

Rude-boy

22,227 posts

234 months

Monday 20th April 2015
quotequote all
Jobbo said:
Rude-boy said:
One thing is certain, we need to be a lot more cautious when drafting RC's these days and possibly consider alternative solutions to enforce no build.
I'm with you there - but it might end up being protected like a positive covenant or overage, with a restriction on title and obligation to enter into a personal covenant. We don't want that messing up titles further.
Yep. Doing a lot more of that sort of thing these days, although I do dislike those as well as they add to the cost and time of transactions as almost always Bens. L&P Fees are covered and are not a specific figure. I had one of the 'bigger' regional firms trying to tell me that £1,500+vat+dsbs was a reasonable figure for their work in connection with the issue of a consent under a restriction on provision of sealed DoC. ...

NicD

Original Poster:

3,281 posts

258 months

Monday 20th April 2015
quotequote all
Guys,

great minds and all.

I have drafted a letter direct to the neighbours to establish rapport and put the proposal across.

When we buy the house, there can be no breach since the first part of the covenant is to build to the specified planning application.
That has happened, no question.

Breaches could happen only after we purchase.

Any case law on what constitutes 'alterations'?

Best
Nic

Rude-boy

22,227 posts

234 months

Monday 20th April 2015
quotequote all
The answer you are after is now far too Client based to answer on a forum.

For the case law. Seriously? 30 seconds on Google on a tablet using nothing but your words gives you the legal definition.

NicD

Original Poster:

3,281 posts

258 months

Thursday 23rd April 2015
quotequote all
Rude-boy said:
The answer you are after is now far too Client based to answer on a forum.

For the case law. Seriously? 30 seconds on Google on a tablet using nothing but your words gives you the legal definition.
What do you mean by 'Client based' and please post your 30 seconds of 'research' on 'alteration' please, lets see how useful it is. My searches resulted mainly in leasehold cases, or additions.

Just to bring up to date, the agent and seller has accepted the point and is investigating a deed of variation. I have not got hopes up, but you never know.

I have drafted a letter direct to the neighbour, but holding back for some of the reasons mentioned above.

Note that the covenant is an issue only going forward, as the first part of it mandates the property is built as per a specific planning application, which it is, as it is adjacent to an AONB.

Edited by NicD on Thursday 23 April 06:18

Aerate

264 posts

149 months

Monday 15th June 2015
quotequote all
A bit O/T but I figure this thread resurrection means that all the House Purchase - Negative Covenant info stays in the same place.

The quote below was most helpful in my specific case, but it brings out some new questions

Elysium said:
A restrictive covenant can only be lifted by agreement with the original beneficiary.

I would ask the following:

1. Do they still exist?
2. Is their a 'successor in title' that would benefit from the covenant if they are no longer around?
3. Is the covenant still relevant?

A covenant is only enforceable if there is a beneficiary. That beneficiary is unlikely to enforce a covenant that is meaningless to them.

The original land owner clearly wanted to retain some control when he sold to the builder. Is that person still around and will they care about your extension?
I am in the process of buying an ex-Forestry Commission cottage. My solicitor has flagged up a negative covenant to the affect that there should be no exterior changes to the building. The cottage is one of six semis, one of the middle ones has an extension as this part of the covenant was omitted due to oversight when it was sold by the Forestry Commission. We are buying the end one, our neighbours are keen to extend, but are also bound by the covenant.

The Forestry Commission is now DEFRA (I guess the successor in title), so I would have to apply to them.
The covenant is relevant in that of the six houses, only one (without the covenant) has been extended.

Is it possible to come to an agreement without giving large bundles of hard-earned (and tax paid!) moolah to DEFRA?
If not how much will it cost me?
Will I have to supply plans to them? or do I just get them to vary / relax the covenant?
Would it be worthwhile (cheaper) joining forces with our neighbour-to-be?
Is DEFRA harder or easier to deal with than a private individual?
Should I just can the whole idea? Extending is quite integral to our plans...

Thx

NicD

Original Poster:

3,281 posts

258 months

Friday 19th June 2015
quotequote all
OK, just to bring up to date.
The beneficiaries (neighbours) turn out to be very reasonable and after I paid for their solicitors, have signed an acceptable Deed of Variation.
They emailed me last Saturday morning to say they had signed, but after two working days, their firm denied all knowledge!
Now, it appears that have located it, but it missed the DX, so will arrive at my conveyancer maybe today or Monday.

Still, good progress to getting into my huge garage/ under build . Hope to exchange soon.