15. Head leaseholder

The head leaseholder, often referred to as the superior landlord or superior leaseholder, holds a lease directly from the freeholder or landlord. In a leasehold property hierarchy, the head leaseholder is positioned between the freeholder and the sub-leaseholders or subtenants. Essentially, the head leaseholder is both a tenant and a landlord. 


In this arrangement, the head leaseholder has entered into a lease agreement with the freeholder, granting them the right to occupy and use the property for a specific period, as outlined in the terms of the head lease. The head leaseholder, in turn, becomes the landlord to any sub-leaseholders or subtenants who hold leases below them in the hierarchy. 


The responsibilities of a head leaseholder can include collecting ground rent and service charges from sub-leaseholders, ensuring compliance with the terms of the head lease, maintaining common areas and shared facilities, and managing any disputes or issues that may arise within the property. 


It is important to note that the relationship between the freeholder, head leaseholder, and sub-leaseholders is governed by the terms outlined in each respective lease agreement. The rights and obligations of the head leaseholder are defined within their lease and affect their interactions with both the freeholder and sub-leaseholders. 


When considering a property with a head leaseholder in a leasehold arrangement, prospective buyers should carefully review the terms of the head lease to understand their responsibilities, rights, and limitations as occupants within this complex hierarchy. 

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