Local authorities across the London boroughs are increasingly working with the private sector to secure new properties and meet the demand for housing. With a shortage of council owned properties, private property owners are being sought after to provide the required accommodation. Whilst securing rental income on a fixed term basis is highly appealing to many property owners, there are risks involved with approaching the authorities directly to engage in council leasing. London property owners have, time and again, come to us in order to ensure their investment is secure when undertaking this.

In a number of cases, the terms offered by the local authorities for council leasing seem highly appealing, but they may come with certain pitfalls. For example, it is important to ascertain if the rental income from the lease is guaranteed, or if it is subject to occupation. Further to this, it is essential to be clear on whether both the deposit and monthly rental collection will be managed by the council, or if the property owner is expected to take charge of this. The agreements put forward can be quite complex and the property owner may well find that council leasing requires a great deal more of their time and resources than they had anticipated.

The most effective way to succeed when engaging in council leasing is to appoint professional property managers to handle it on your behalf. In this respect, we ensure that property owners are placed in the most preferential position possible. Our view is that property owners have made a substantial investment in their portfolio and, by making it available for the benefit of councils and local authorities, they are entitled to ensure that their property is looked after as well as receiving the income returns.

Many reports in the news at the moment highlight the rental income which is possible through council leasing. Whilst the figures are certainly appealing, you, as a property owner, must ensure that your investment will be looked after and maintained correctly, and that the revenue from it is guaranteed and secure. In our position as preferred specialists in council leasing in Southwark and all other London boroughs, we are in a prime position to get you the best returns and deliver professional property management.