Most listings for flats on London City Island, including new-build units, clearly indicate a leasehold tenure, with lease terms often extending up to 999 years
A recent listing for a studio in Lyell Street specifies:
Tenure: Leasehold
Lease Remaining: 988 years
Annual Service Charge: £3,800
Ground Rent: £450 per annum
This structure is consistent across other developments in the area, including Corson House and Amelia House.
Leasehold ownership means you own the right to live in the flat for a fixed period, but not the land beneath or the building structure. Key implications include:
Service charges and ground rent must be paid to the freeholder or managing agent.
You have responsibility for internal repairs, while the freeholder remains responsible for communal maintenance.
Even where a flat is marketed as share of freehold, it still remains leasehold at its core—meaning the lease remains legally binding.
| Tenure Type | Applies to City Island Flats? | What It Means |
|---|---|---|
| Leasehold | Yes | Owning the lease for a fixed term, paying service charges and ground rent |
| Freehold | No | Full ownership of building/land—rare for flats in the UK |
| Share of Freehold | Not applicable (no evidence) | Offers more control, but still governed by an underlying lease |
Understanding tenure is critical for:
Valuation & Mortgage Criteria – Banks often require long leases (120+ years) for financing.
Leasehold Reform Landscape – Upcoming reforms, such as those in the Leasehold and Freehold Reform Act 2024, aim to enhance leaseholder rights like pricing predictability, lease extensions, and fee transparency.
Service Charge & Ground Rent Awareness – Clarity on ongoing liabilities and ownership boundaries.
Thinking of buying or selling at London City Island? Fraser Bond offers comprehensive support—from expert leasehold advice to financing insights, compliance checks, and long-term investment strategy. Explore tailored solutions today at FraserBond.com.
