01 Dec Cross-Lease Conversions
Completion of the conversion of your existing cross-lease ownership to fee simple ownership is likely to increase the value and saleability of your property.
Under a cross-lease ownership, as ‘tenants in common’, each flat owns an undivided share of the land that makes up the entire site. Each party also leases it’s flat from all of the ‘tenants in common’/owners. Given this ownership structure, should owners wish to complete an extension to their dwelling, or add a garage, then approval will be required from the other shared owners, and a new resource consent and amended cross-lease plan would be required.
If, however, the properties are held in a fee simple ownership, then extensions and additions of a garage can be completed provided a building consent is obtained first.
There would be no requirement to seek the adjoining owner’s consent, provided the proposal is compliant with Council planning controls.
The property may also be able to be further developed for additional dwellings should the area allow.
There is thus a very good reason to complete the conversion from the Cross-Lease to Fee Simple. It not only adds value, but it also may allow for further development.
The Cross-Lease Conversion Stages:
Depending on extent of any remedial works, the process would normally take about 6-9 months.
How can Fraser Thomas assist:
Fraser Thomas can provide the necessary planning, surveying, and engineering services to complete the cross-lease conversion stages. The owners would need to engage a lawyer to complete the initial consenting of all owners to progress with the conversion and to progress with the order of new titles process.
We can liaise with your lawyer and arrange for contractors we work closely with, to complete the drainage and utility services locations.
If you are interested in looking at completing the conversion, please complete our Contact Us Form, and submit. One of our experienced staff will contact you to discuss your project.
