Legislation to complete a programme of property law reform was completed on 28th June.
The Long Leases (Scotland) Bill will bring an end to ultra-long leases (ie those let for more than 175 years) by converting them to ownership.
The Bill formed part of a programme of property law reform put forward by the Scottish Law Commission. This included the ending of feudal tenure in 2004 through the Abolition of Feudal Tenure etc (Scotland) Act 2000.
* Converts ultra-long leases to ownership
* Protects landlords' rights by providing for compensatory and additional payments.
* Moves away from an unnecessarily complex form of land tenure
“Clarifying the law makes life easier for tenants in ultra-long leases and for lenders and solicitors engaged in transactions relating to the properties,” said Environment Minister Stewart Stevenson. “This legislation will simplify property law and convert virtual ownership into actual ownership.”
An eligible ultra-long lease is one that was let for more than 175 years and, at the Appointed Day, has more than 175 years left to run (non-residential leases) or has more than 100 years left to run (residential leases). The Bill will have full effect on the Appointed Day. The current intention is that the Appointed Day will be Martinmas (28th November) 2015.
The Scottish Government estimates that there are around 9,000 ultra-long leases in Scotland.