Merton Council seize control of eighteen private rented homes following landlord’s failure to get them licensed

Monday, September 9th, 2024 - Merton Council

A private landlord who persistently failed to license their rented properties has had eighteen properties seized by Merton Council.

Merton Council told London Property Licensing that the properties seized include Houses in Multiple Occupation and single family lets.

Council officers had inspected the properties following complaints from the tenants, including concerns about disrepair. Officers issued several legal notices on the owner requiring action to be taken, but they were ignored.

As a result, the council has taken temporary control of the properties by making Interim Management Orders (IMOs) under Part 4 of the Housing Act 2004. This is a power available to the council if there is no realistic prospect of the landlord getting the properties licensed, or to resolve health, safety and welfare concerns.  

Whilst the IMOs are in place, the council take direct responsibility for the management of the properties and collect the tenants’ rent, whilst the owner remains responsible for paying the mortgage.

After 12 month, the IMOs can be revoked if the landlord steps in to get them licensed and ensures they are effectively managed. Alternatively, the council can make a Final Management Order (FMO) to continue and strengthen their management powers over a longer period.

Whilst the IMOs are in force, the properties are being managed for Merton Council by Capital Letters, a not-for profit property management company.

Councillor Andrew Judge, Merton Council’s Cabinet Member for Housing and Sustainable Development, said: 

“Everyone deserves to live in a safe and decent home and the council is committed to improving housing conditions in the private rented sector.

“While many landlords operate within guidelines, there are also others who do not, often taking advantage of some of the most vulnerable members of our community. This leads to issues affecting health and safety, the wider community, as well as the environment.

“This action sends a clear message to landlords: if you do not license your property, or act in such a way that the property cannot be licensed, the council can and will use its powers to take over the running of it.”

All private rented homes in Figges Marsh, Graveney, Longthornton and Pollards Hill wards must be licensed under the council’s selective licensing scheme introduced last year. The council also operates borough wide mandatory HMO and additional licensing schemes. 

Our free guide containing more information about property licensing and HMO planning restrictions in the London Borough of Merton is available here.

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