Crown Estate tenants kept in dark over new landlord

Published: 09 September, 2010
by DAN CARRIER

BRITAIN’S biggest landowners have told 500 low-income families, pensioners and public servants that they are going to sell their homes from under them – and are refusing to let their tenants know who their new landlord is likely to be.

For two years, the Crown Estate, who own Cumberland Market in Regent’s Park, have been touting the flats round property developers, capital investment firms and social landlords. 

Last week, in a behind-closed-doors meeting of the Estate board, they decided to sell the flats to one bidder. 

But as the small print of the sale is drawn up, the Crown Estate are refusing to tell anyone who the new owners could be – claiming commercial sensitivity – but have said they will run a consultation to register rent-payers’ views before the sale is sealed. 

Tenant Madeline Davis accused the Crown Estate of underhand tactics. She said: “They have constantly promised an open dialogue but have given us nothing. They will only involve us in a decision once it has been taken, and then they will ignore what we say.”

Ms Davis said tenants were waiting for an announcement on the potential buyer’s identity before deciding their next move. Some have warned of a rent strike and occupations if the Crown push ahead. 

The Crown Estate own swathes of the West End, and this year raised millions through selling rights to set up off-shore wind farms on the seabed around Britain, which they lay claim to. 

They have boasted of investing hundreds of millions of pounds in shops and offices in the Regent’s Street area, but say the decision to sell  the homes is driven by a need to maximise income for the Treasury. 

Holborn and St Pancras MP Frank Dobson, who has been campaigning on behalf of tenants, said: “They are acting like the worst type of property speculator.”

The MP added that the motivation to buy the estates – whose value runs in to hundreds of millions of pounds – had to be considered. 

He said: “There is nothing in it for anybody unless they are able to sell off flats that become empty on the open market. No one would invest this sort of money to get the returns on the rent.”

He added that tenants felt the landlords had acted sneakily to stop protests. The board meeting which made the decision was not made public until the day it took place and alternative bids were not disclosed.

A Crown Estate spokesman said: “The prospective purchaser has confirmed that it is prepared to meet conditions set by the Board including continuing the policy of letting approximately 9 out of 10 new lettings to key workers should the sale proceed.”