For many leaseholders, taking control of how their building is run can feel like a huge step forward. Whether it’s frustrations with maintenance, communication, or costs, forming a Right to Manage (RTM) company gives you and your neighbours a direct say in how your block is managed. But what actually happens when the big day comes, when the RTM company officially takes over?
This milestone is known as the acquisition date, and it’s one of the most important moments in the block management journey. Below, we’ll break down what the acquisition date means, how it’s decided, what the landlord’s role becomes, and what leaseholders can expect once they’re officially in charge.
The acquisition date marks the exact day your RTM company takes over the management responsibilities for your building from the landlord or their managing agent. From this point onwards, the RTM company, usually made up of leaseholders, becomes responsible for running the building. That includes everything from organising repairs and maintenance to managing insurance, health and safety, and the collection of service charges. In short, it’s the day the RTM company officially takes control of the block management duties that directly affect how the building operates day to day.
The acquisition date doesn’t happen automatically; it’s determined by law and depends on how the RTM process unfolds. There are three main ways it can be set:
It’s worth noting that the process can take several months from the initial notice to the official handover, so it’s a good idea for RTM directors to use that time to plan ahead, gather quotes for insurance, shortlist contractors, and decide how they want to handle the block management responsibilities once they’re in control.
Once the acquisition date arrives, the RTM company takes on the management functions previously held by the landlord under the lease. That includes repairs and maintenance of the structure, exterior and common parts, management of service charge accounts, arranging building insurance, ensuring compliance with health and safety legislation, and day-to-day communication with leaseholders. However, the landlord doesn’t disappear from the picture; they remain an important part of the overall structure.
A common misconception is that once the RTM company takes over, the landlord loses all involvement. That’s not quite true. Under the legislation, the landlord automatically becomes an eligible member of the RTM company. That means they have a right to vote and to be notified of meetings, so essentially, they get a seat at the table, even if they no longer control day-to-day block management decisions.
Each flat owner who’s a member of the RTM company has one vote per flat, and the landlord also has one vote for each flat or non-residential unit they own. Here’s a simple example: if there are 12 flats, and the landlord owns 2 of them, the landlord gets 2 votes. The remaining 10 leaseholders each get one vote. This helps maintain fairness as leaseholders retain majority control, but the landlord still has a voice in decisions that affect the building.
From the acquisition date, the RTM company takes over the management functions of the landlord as defined in the leases. These typically include repairs, maintenance and decoration of the building’s structure, management of common areas, collection and accounting of service charges, and arranging building insurance. But there are still areas where the landlord retains authority, such as enforcing lease terms against individual leaseholders, dealing with forfeiture proceedings, or managing any parts of the property not covered by the residential leases (such as commercial premises, in some cases). It’s a shared responsibility model, but in most buildings, the RTM company becomes the primary decision-maker for all practical block management matters.
Once the acquisition date is confirmed, there’s a formal handover process between the landlord (or their managing agent) and the RTM company. Typically, this involves:
In some cases, landlords or their agents are slow to provide information. The law requires them to do so within a set timeframe (normally within 28 days), but RTM directors should be proactive, serve written requests early, and keep a clear record of all correspondence.
Yes, and in many cases, it’s actually beneficial for everyone. The landlord might continue to be involved in areas like major works, lease compliance or health and safety where their experience can be helpful. However, the RTM company will usually appoint a block management agent to handle the day-to-day running of the building on their behalf.
This is often where professional block management companies like Cube Block Management come in. They can support the RTM company by managing service charge budgets, coordinating maintenance and repairs, handling insurance renewals, ensuring legal and health & safety compliance, and keeping clear financial and operational records. This partnership allows leaseholder directors to stay in control without being buried in admin or legal obligations.
If you’re approaching your acquisition date, here are a few simple ways to make sure the transition goes smoothly:
The acquisition date is a milestone, it’s the point where your RTM company steps up to manage your building and truly take ownership of how it’s run. While it can feel daunting, understanding what happens on the day and preparing in advance makes the process far smoother. At its core, Right to Manage isn’t just a legal right — it’s a chance for leaseholders to take control of their homes, their budgets, and their community. With the right preparation and the right block management support, it can transform the way your building operates.
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