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Property Repossessed, Residents Kicked Out...

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Hotel's shock closure

A MULTI-million pound hotel complex in Evesham has been closed down without warning on the orders of its American owners.

Dozens of guests were ejected and others were refused entry to the Grade II listed Wood Norton Hall when insolvency specialists moved in last Friday.

General manager Mike Muse and his 40-plus staff were laid off with immediate effect as the hotel closed its doors less than five years after it was sold by the BBC to US businessman Rick Hvizdak.

Insolvency specialist Mike Durkan of Cheltenham-based Findlay James said the decision to cease trading had been taken after meetings of the board of directors and then the shareholders of the Cayman Islands-based holding company RCH Enterprises. Both meetings were held in the United States.

Mr Muse, who claimed the company had been trading at a break-even level, said the move had come like a bolt out of the blue.

"I had absolutely no idea this was on the cards," he said. "The insolvency people arrived and told us that our jobs no longer existed. They just told us to grab our belongings and leave."

Overnight guests, many of them strangers to the area, were out sightseeing in the Vale and Cotswolds when the accountants moved in.

Mr Muse said that as they returned to the hotel they were escorted to their rooms, ordered to pack and then escorted from the premises.

Clients arriving to book into the hotel were not even allowed into the building.

Former Round Table member Jim O'Donoghue arrived with his wife Valerie in the middle of the afternoon, having driven from their home in Guildford, Surrey.

"We weren't even allowed to get out of the car," he said later. "Someone told us the hotel was closed and we would have to go somewhere else."

And there was us thinking that tenants of edgy BTL'ers were in a precarious position!

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And there was us thinking that tenants of edgy BTL'ers were in a precarious position!

I know this subject has been mentioned before here, but I haven't yet found an authoritative answer to what happens to the tenant when a landlord is repossessed. I cannot find clearly stated advice anywhere on the 'net about the rights of the tenant, his or her ability to ride out the tenancy, the rights of the repossessor to eject the tenant, what happens to the deposit, the role of the letting agent and a host of other unanswered questions.

I would guess these circumstances are going to become more frequent in the near future.

If anyone wants to reply on this I would be grateful, but please do so through solid knowledge rather than speculation or guess work.

VP

Edited by VacantPossession

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I know this subject has been mentioned before here, but I haven't yet found an authoritative answer to what happens to the tenant when a landlord is repossessed. I cannot find clearly stated advice anywhere on the 'net about the rights of the tenant, his or her ability to ride out the tenancy, the rights of the repossessor to eject the tenant, what happens to the deposit, the role of the letting agent and a host of other unanswered questions.

I would guess these circumstances are going to become more frequent in the near future.

If anyone wants to reply on this I would be grateful, but please do so through solid knowledge rather than speculation or guess work.

VP

Hi VP

I am not sure if this link is just talking about landlords that get out homeowner mortgages. I am not too clued up on this either, anyway does this help

cheers

http://www.rochdale.gov.uk/PublicServices/...asp?url=brief46

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Shelter articles.

If anyone wants to reply on this I would be grateful, but please do so through solid knowledge rather than speculation or guess work. [VacantPossession]

Indeed, there's far too much speculation, presumption and prejudice passed off as knowledge in this forum.

Here's what Shelter have to say about the matter...

'What counts as illegal eviction':

http://england.shelter.org.uk/advice/advice-3193.cfm

Content applies to England

An illegal eviction takes place if your landlord makes you leave your home without following the proper legal process. It is a serious criminal offence.

[...snip...]

What if I don't live with my landlord?

If you don't live with your landlord, you can normally be evicted only if your landlord follows a special legal procedure and gets a court order. However, in a small number of situations, people who don't live with their landlord can be evicted without one.

This could be the case if:

[...snip...]

  • your landlord is having her/his home repossessed by his/her mortgage lender.

'Eviction of assured shorthold tenants':

http://england.shelter.org.uk/advice/advice-288.cfm

Content applies to England

The majority of private rented tenants are assured shorthold tenants, which means they can only be evicted in certain circumstances. To do this your landlord must follow the correct procedure. This section explains when landlords have the right to evict assured shorthold tenants and the procedures that must be followed.

[...snip...]

If you have over eight weeks rent arrears or if the property is being repossessed by your landlord's mortgage lender it is likely that the court will have no choice but make a possession order. In other cases the court will probably only make a possession order if it is reasonable to do so.

Edited by Jeff Ross

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As a tenant you have rights, and as a landlord you have rights. (as well as the duties on both sides that everyone forgets about!)

If you are a tenant, and the property is sold, it can only be sold subject to the lease that you hold. So if the old owner couldn't get you out, nether can the new one!

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I know this subject has been mentioned before here, but I haven't yet found an authoritative answer to what happens to the tenant when a landlord is repossessed. I cannot find clearly stated advice anywhere on the 'net about the rights of the tenant, his or her ability to ride out the tenancy, the rights of the repossessor to eject the tenant, what happens to the deposit, the role of the letting agent and a host of other unanswered questions.

I would guess these circumstances are going to become more frequent in the near future.

If anyone wants to reply on this I would be grateful, but please do so through solid knowledge rather than speculation or guess work.

VP

VP,

our library keeps copies of the files used by Citizen's Advice for this sort of enquiry.

I'll have a look tomorrow and post an answer if I can find it.

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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