Registered providers (RPs, the new name for RSLs!) may need to obtain consent from the TSA under s172 of the Housing and Regeneration Act 2008 (s172, the new section 9!!) for ‘disposals’ of property.

Even though at first glance s172 appears to only apply to social housing dwellings, RP’s could find themselves in the position where consent is required under s172 for a disposal of commercial property.

Under the new rules, a ‘disposal’ includes granting an easement such as a right of access. A ‘dwelling’ includes anything ‘appurtenant’ to the dwelling. So the TSA thinks that a lease of a commercial unit will amount to a disposal and require consent if it includes a right to use a communal bin store, but not if the lease does not include such an ‘appurtenance’! The transaction may fall within category 19 of the TSA’s general consent. If so, you will need to comply with the usual general consent conditions and formalities.

S172 also introduces the so-called ‘social housing legacy’ and the concept of ‘prior dwellings’. Under these rules, s172 consent might be required for a disposal of a commercial unit where the land was previously housing property and/or comprised a dwelling.

The definitions referred to above and the new concepts regarding the social housing legacy and prior dwellings could well give rise to headaches on straightforward disposals involving residential property – if in doubt, it’s probably best to assume that s172 could apply.

The TSA is still considering how it intends to interpret all of the s172 legislation, but for now the TSA’s ‘working policy’ is set out in its ‘Disposing of Land’ booklet. In the meantime RPs should tread carefully and, if in any doubt, consult with the TSA’s consents team and/or consider seeking formal advice when making any form of disposal.

For more information on these issues please contact

Ben Halsey

or your usual Lewis Silkin contact