It sounds awful, who wants the details of their demise!? But in law and property, demise is a key term to note responsibility and ensure the correct owner for land and property.
What’s in the dictionary?
Noun – a person’s death.
Noun (law) – conveyance or transfer of property or a title by will or lease.
Moving past definition 1., we come to the relevant definition in the property industry. Demise is the transfer of property, by will or by lease.
In the world of leasehold properties, the demise is specifically what the lease grants to you in terms of ownership and specifically excludes anything retained for the communal areas or other flats. The lease is a contract granting the buyer rights and responsibilities in relation to a specified extent of property; the demise.
Where can I find it?
As always, the key document for leasehold property is the lease. When you purchase a leasehold property, you will be granted a lease with all the terms and conditions set out. While all leases can be different, the demise is often set out near the beginning; either in the Interpretations / Particulars or in Schedule 1.
What is normally demised?
The demise is anything not otherwise retained by the Landlord. It will generally include the flat and anything essential and integral to the flat, though it varies with every lease – be sure to check your own for specific details.
For example, it is common for the demise to include the front door to the flat, but not always. Most leases will demise windows (including the glass in the window and the frame) but this isn’t guaranteed – and can be any combination of those three features. Another contentious point can be balconies, and the extent of the balcony that belongs to an individual; typically just the surface decking, but again you must check your own lease.
What does it mean for me?
Once again, this depends on the lease for your individual property. Simply put, anything that is demised to the leaseholder belongs to them in respect of both enjoyment and responsibility. This means that for example with the flat door, if this is demised then it is your responsibility to maintain it and repair it if needed, but it also gives you the right to change it.
Note that in most cases with something like the flat door, you are likely to need consent for alteration if you do anything that is not like-for-like (identical) replacement. This is particularly pertinent nowadays with so much importance around fire doors and safety, but applies to everything you intend to do to any demised property. After all, some leases only have 20 or 30 years left on them and become the Landlords property at the end, so like any tenant renting a property you need to seek approval for such changes.
Another common item is intercoms; you will often see the panel by the main door is retained by the Landlord, as it serves all the flats, but leases typically demise service media and cables / pipes, meaning the handset in your individual flat is the leaseholders responsibility. As always, it depends on your specific lease so be sure to read through for all the details.
How can I change it?
Unfortunately in most cases, you won’t be able to change the terms of your lease. It is therefore essential to make sure you’re happy with the terms and especially the demise before purchasing the property.
Because leases are typically required to have the same terms as all the others in the building, you cannot easily amend the terms without all the other leaseholders agreeing (as well as the Landlord). Not only can this be expensive, but it can be very difficult to get everyone to agree, especially in larger building with lots of leaseholders.
Why are leases so confusing?
The leasehold system is a very old structure for property ownership. The concept originates from medieval times, but even the modern setup dates back to the early 1900s. This has led to a lot of old fashioned and arguably outdated practices, as well as legal requirements that can feel designed to keep leases deliberately confusing. Rest assured, you’re not the only one that struggles to make sense of it all!
If you have any concerns about what is (or is not) part of your property or demise, contact our team today and we are happy to take a look through your lease to give some guidance on the key items that are included.
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