Taking control of how your building is managed might sound daunting – but for many leaseholders, the Right to Manage (RTM) is one of the most empowering steps you can take.
It gives residents real authority over how their development is run, how money is spent, and who provides the services that keep their homes in good shape.
Here’s what RTM really means, how it works, and how you can get started.
What Is the Right to Manage (RTM)?
The Right to Manage was introduced under the Commonhold and Leasehold Reform Act 2002, giving leaseholders the legal right to take over management responsibilities from their freeholder.
This doesn’t mean buying the freehold – the freeholder still owns the land – but it allows leaseholders to form a company that takes charge of the day-to-day running of the building.
Once an RTM company is established, the directors (usually residents) decide how the building is maintained, who provides the services, and how budgets are managed.
Why Leaseholders Choose RTM
Many leaseholders pursue RTM because they’re frustrated with poor service, high costs, or a lack of transparency.
With RTM, you can:
Choose your managing agent – one who’s accountable to residents, not the freeholder.
Control budgets and service charges – ensuring every penny is properly accounted for.
Improve communication – decisions are made locally, by people who live in the building.
Raise standards and value – proactive, transparent management helps protect (and often increase) property values.
In short, RTM gives you a voice and a vote in how your home is managed.
Who Qualifies for RTM?
To qualify for RTM, your building must meet a few basic criteria:
- It’s a self-contained building (or part of one).
- At least two-thirds of the flats are held by qualifying leaseholders.
- At least 50% of those leaseholders support the application.
- The building contains at least two flats and is mostly residential.
If those conditions are met, you can begin the process of forming an RTM company and taking control.
The RTM Process: Step by Step
Form the RTM Company
Leaseholders set up a formal RTM company with appointed directors.
Invite All Leaseholders to Join
Every qualifying leaseholder must be invited to become a member — even if they choose not to.
Serve Notice on the Freeholder
The RTM company must serve a formal “Notice of Claim” to the freeholder.
Wait for Any Objections
The freeholder has one month to respond. If there’s no valid objection, the RTM transfer goes ahead.
Appoint Your Managing Agent
Once the handover date is set, the RTM company can choose its managing agent and begin mobilisation.
At ALLRES, we help directors through every stage – from verifying eligibility and preparing notices to ensuring a smooth operational handover.
Common Myths About RTM
“It’s expensive or complicated.”
Not true. The legal and administrative costs are relatively low compared to the control and value gained.
“The freeholder will block it.”
The law is on your side. Freeholders can only object on limited, valid grounds.
“You’ll have to manage everything yourself.”
Not at all. Most RTM companies appoint a professional managing agent (like ALLRES) to handle the day-to-day operations – while directors retain oversight.
How ALLRES Supports RTM Directors
Taking on RTM doesn’t mean doing it all alone.
At ALLRES, we partner with RTM companies to make the process seamless:
✅ Guidance from day one – from eligibility checks to notice preparation.
✅ A full mobilisation plan – ensuring no disruption in service or compliance.
✅ Our custom-built management platform – giving directors real-time visibility of finances, compliance, and maintenance.
✅ Transparent costs – no hidden margins or commissions.
✅ Hands-on support – we handle the detail so directors can focus on decision-making.
Empower Your Development
Right to Manage isn’t just a legal right – it’s a step towards better living standards and stronger communities.
If you’d like to explore how RTM could work for your building, or how ALLRES supports directors through the process, we’d be happy to help.
