In recent years, leaseholders in Birmingham have increasingly explored Right to Manage (RTM) as a route to gain more control over how their buildings are run. For those living in shared residential developments, the RTM process offers a chance to take on management responsibilities, improve service delivery, and influence how service charges are used.
This brief RTM Birmingham Guide outlines some of the key considerations for those interested in forming an RTM company, and how expert support can make the process smoother.
What is an RTM?
Under the Commonhold and Leasehold Reform Act 2002, qualifying leaseholders have the right to set up an RTM property management company to take over many of the responsibilities traditionally held by the freeholder. This can include appointing a new property managing agent, managing building maintenance, and ensuring service charges are used efficiently and transparently. Unlike other legal processes, leaseholders don’t need to prove mismanagement which makes the RTM process more accessible and simplified for those residents who want more say in how their homes are looked after.
Criteria for establishing an RTM
Before applying to set up an RTM, leaseholders must first ensure their building qualifies. The property must be self-contained and contain at least two flats, with at least two-thirds of the flats held on long leases. Numerous buildings throughout Birmingham comfortably meet these criteria. In addition, 50% or more of leaseholders must support the move. If these conditions are met, a new Right to Manage company can be set up and formally registered. This is usually a private company limited by guarantee and must include at least one qualifying leaseholder as a member.
Support every step of the way
At Rendall & Rittner, we support RTM and resident-led groups in Birmingham and across the country through every step of this transition. With over 90,000 homes under management, we are a leading property management company UK-wide, with extensive experience in RTM property management, compliance, and customer service.
Once a prospective customer has registered their interest with us, we arrange an initial call to find out more about why they are looking to acquire the right to manage and to ensure that the process is the right choice for them. We will then check that the building and its leaseholders meet the qualifying criteria and will discuss the next steps in delivering the RTM process. Our infographic provides more information about the process and the support we can offer along the way.
Ongoing management of an RTM
Once the RTM company is established, notice must be served to all leaseholders in the building, giving them the chance to participate. A formal Notice of Claim is then sent to the freeholder. If uncontested, the RTM company will assume management responsibilities on an agreed acquisition date. From this point forward, the company can either manage the building directly or appoint a trusted residential block management partner like Rendall & Rittner.
Taking on these responsibilities can be complex, particularly when it comes to compliance, financial planning, and health and safety. That’s why many new and existing RTM companies choose to partner with a professional residential estate management provider for additional support. With Rendall & Rittner, residents benefit from tailored advice, transparent reporting, and an experienced team who understand the legal and operational requirements of RTM property management. Our resident management company services are designed to support resident-led organisations to thrive while maintaining high standards.
In summary
There are many advantages for Birmingham leaseholders who wish to pursue Right to Manage. From more responsive customer service to greater financial oversight, the RTM process puts decision-making power into residents’ hands, allowing them to make key decisions about their homes. Our dedicated team supports residential property management clients at every stage, from early advice and assistance with company formation to long-term strategy, governance and day-to-day operations.
To find out more about how we support RTM and resident-led groups in Birmingham, visit our Resident Management Companies and RTMs page.
You can also explore our wider range of property management services UK or learn more about our approach to residential estate management.
Whether you're at the start of your RTM Birmingham journey or already planning your next steps, we hope this RTM Birmingham Guide provides valuable insight. For more tailored advice feel free to contact our expert team at midlands@rendallandrittner.co.uk