Written answers

Tuesday, 16 May 2006

Department of Justice, Equality and Law Reform

Ground Rents

9:00 pm

Tony Gregory (Dublin Central, Independent)
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Question 439: To ask the Minister for Justice, Equality and Law Reform the action he is taking arising from the ongoing difficulties for elderly homeowners whereby ground rent leases are expiring on dwelling houses entitling the ground landlord to one eighth of the gross price of the house; if he is considering measures to enable homeowners to acquire the freehold of the property which they already own; the timescale for such measures; and if he will make a statement on the matter. [18418/06]

Photo of Michael McDowellMichael McDowell (Dublin South East, Progressive Democrats)
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The position is that a statutory scheme for the acquisition of the fee simple in dwelling houses is set out in the Landlord and Tenant (Ground Rents) (No. 2) Act 1978. Part III of that Act provides a special procedure, operated by the Land Registry, whereby a person may acquire the fee simple in their dwelling house.

As regards expired leases on dwelling houses, the position is that the ground rent tenant may be entitled to acquire the fee simple: As a yearly tenant arising by operation of law or by inference, where rent has been paid to and accepted by the landlord after the expiry of the lease and the conditions in section 15 of the Landlord and Tenant (Ground Rent)(No. 2) Act 1978 are satisfied; Under section 13 of the Landlord and Tenant (Ground Rent)(No. 2) Act 1978, where the application was made within 12 months of the commencement of the Act; or Under section 3(2)(c) of the Landlord and Tenant (Ground Rents) Act 1967 (as revived by section 73 of the Landlord and Tenant (Amendment) Act 1980), where the lease was a building lease or a propriety lease.

As regards any future measures regarding ground rents, the position is that a High Court challenge to the constitutionality of certain provisions of existing ground rents legislation was heard during 2005 and the Court's judgment was given earlier this year. As the period within which an appeal against that ruling can be taken has not expired, however, it would not be appropriate to proceed with any proposals for legislative changes at this time.

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