Community Right to Bid
The Community Right to Bid is legal power brought in by the Localism Act in 2011. It gives communities the opportunity to pause the sale of buildings or land they care about, for example a local pub, shop, library or football ground.
For more information about the Community Right to bid process visit the My Community Rights website.
The stages of the Community Right to Bid
The first step is for a community group to nominate land and buildings to be part of a register of assets of community value. This is done by completing the 'Assets of community value nomination form'. Properties can be nominated at any time.
The decision is made by us. We will consider whether the proposed asset meets the conditions required by law for listing. Should we decide to list a property, the land owner has the right to appeal. Listed properties are published on an ‘Assets of community value register’.
When a property is put on the market
The owner of a building or land that is listed as an asset of community value must let us know when they intend to sell the property (unless an exemption applies). We will update the website list with the intended sale, inform the nominating organisation and publicise the sale in the local community. Any eligible community interest group that is interested in making a bid must write to us within six weeks of our receipt of the owner’s notification of their planned sale.
This triggers a six month period (including the initial six weeks) during which the owner is unable to sell to any buyer other than a community interest group. This is called a moratorium.
Once this six month period ends, the owner is free to sell the land or building to whoever they wish, at the price they wish. They will also have a protected period of 18 months when they cannot be subjected to another moratorium.
Exceptions and limits to the right to bid
Certain categories of land are exempt from this right. For example, residential dwellings and operational land owned by organisations like utilities. In other circumstances, there are certain disposals of land which are exempt from the act, such as a gift to family members, disposal of part of a business sold as a going concern.
Listing land or buildings does not automatically prevent other changes, for example a change of use. An entry in the Assets of Community Value can be a material consideration for a planning decision, but does not automatically prevent a successful planning application.