6, Stapeley Gardens, Liverpool L26 9YG MAN/00BY/OAF/2021/0041
DECISION
[1]14 The Tribunal is unhappy to adopt the approach suggested by Mr Evans. The formula provided by the 1977 Act is one specifically provided for the redemption of rentcharges and no evidence has been provided of its assistance in providing an appropriate market value for a ground rent which is either the subject of purchase, or redemption.[2]15 Equally, the observations set out above in relation to the evidence of Mr Orme suggest that his valuation is of limited assistance. The Tribunal makes the observations that it has in the knowledge that there is very little evidence of any market transactions that can be of significant assistance to its deliberations.[3]16 It does however have considerable knowledge and experience of those applications that are brought before it over the area of its jurisdiction and the capitalisation rates that are adopted and have been so for a considerable period of time since the inception of the Leasehold Reform Act.[4]17 The Tribunal is confident that against such a background a single ground rent would attract a capitalisation rate of about 6% and that would be an appropriate rate to adopt in this case. The result would be a purchase price of £833.33 and the Tribunal is satisfied that this represents an appropriate price for the purchase of the freehold interest in 6, Stapeley Gardens.[5]18 The Tribunal therefore determines that the price payable under Section 9(1) Leasehold Reform Act 1967 for the freehold interest in 6, Stapeley Gardens, Liverpool shall be £833.33. The Applicant is reminded that there will still be the additional conveyancing and Land Registry costs of the Respondent to be met.