Part 2 - Leasehold enfranchisement and extension Section 34: Lease extensions under LRA 1967 on payment of premium at peppercorn rent
Section 34 makes changes to the lease extension right under the LRA 1967 so that a tenant of a house can obtain a lease extension at a peppercorn rent in exchange for the payment of a statutory price.
	The amendments made by Section 34(3)(a) ensure that when a shared ownership leaseholder claims a lease extension, only the rent payable in respect of the tenant’s share in the house becomes a peppercorn on the grant of the extended lease (so any rent paid by the shared ownership leaseholder in respect of the landlord’s share is unaffected by the lease extension claim).
	Section 34 also contains consequential amendments of the LRA 1967 which are required due to the change to the lease extension right. Alongside the changes made by Section 33, these changes ensure that the lease extension rights available under the LRA 1967 and the LRHUDA 1993 are equivalent to one another, so that the qualifying tenant of either a house or a flat can obtain-
a 990-year lease extension,
at a peppercorn ground rent,
in exchange for the payment of the price set by the amended valuation scheme set out in Sections 35 to 37.