A Guide to Croft Succession Planning

Passing on your croft or allowing someone else to use your croft can be a difficult decision but knowing the options available to you can help ease the process.

For a landlord of a vacant croft, these are the options:  

Landlords of a vacant croft can:

• Let out the croft to establish a tenancy.
• Transfer the land ownership via a solicitor

Letting a croft

• Letting is when a landlord of a vacant croft creates a permanent croft tenancy.
• Unless specifically excluded the new tenant would have the right to buy the croft and all the usual rights of a crofting tenant.
• There are options to allow you to continue to live in the croft house.
• Letting of the croft, including to a family member, has to be approved by the Crofting Commission.
• Letting part of the croft might be possible.
• Owner occupiers letting their croft become landlords of a tenanted croft.

Owners transferring crofts

• Landlords of a vacant croft can transfer their croft to new owners.
• This transfer does not need to be approved by the Crofting Commision.
• Transfer would need to be completed by a solicitor.

The transfer of your croft can be within your lifetime or after your death. Professional advice should be sought from a solicitor with experience of crofting when making a will to ensure your wishes are carried out. Any successors to your croft must be able to meet the duties of a crofter.

Passing on your croft or allowing someone else to use your croft can be a difficult decision but knowing the options available to you can help ease the process.

As an owner occupier,  what are your options?  

Owner-occupiers can:

• Apply for someone to have a short let of their croft.
• Let all or part of the croft creating a croft tenancy.
• Transfer the land ownership via a solicitor.

Short term let

• Short term let is when an owner occupier lets their croft to a tenant for up to 10 years - part lets are also possible.
• Owner occupiers who let on a short term basis will retain the status of owner occupier.
• Short term lets, including to a family member, have to be approved by the Crofting Commission.

Letting a croft

• Letting is when an owner occupier of a croft creates a croft tenancy.
• Letting creates a permanent tenancy.
• Unless specifically excluded the new tenant would have the right to buy the croft and all the usual rights of a crofting tenant.
• There are options to allow you to continue to live in the croft house.
• Letting of the croft, including to a family member, has to be approved by the Crofting Commission.
• Letting part of the croft might be possible.
• An owner occupier letting their croft become landlords of a tenanted croft.

Owners transferring crofts

• Owner occupiers can transfer their croft to new owners.
• This transfer does not need to be approved by the Crofting Commission.
• Transfers would need to be completed by a solicitor.

The transfer of your croft can be within your lifetime or after your death. Professional advice should be sought from a solicitor with experience of crofting when making a will to ensure your wishes are carried out. Any successors to your croft must be able to meet the duties of a crofter.

 

Passing on your croft or allowing someone else to use it can be a difficult decision, but knowing the options available to you can help ease the process.

Your status (tenant, owner occupier or landlord) determines how you can pass your croft on. Here are some key points for tenants:

Croft tenants can:

• Put in a sub-tenant for a term of up to 10 years.
• Assign their tenancy permanently.

Assignation

• Assignation is when the croft tenancy is transferred from one tenant crofter to another person, i.e. assigned to another person.
• Assignation is a permanent transfer.
• Assignation of the croft, including to a family member, has to be approved by the Crofting Commission.
• There are options to allow you to continue to live in the croft house.

Sublet

• Sublet is the transfer of your croft to another person for a period of up to 10 years - part of the croft can be sublet.
• Can also include common grazing shares.
• Does not affect the security of your tenure.
• Letting of the croft, including to a family member, has to be approved by the Crofting Commission.
• There are options to allow you to continue to live in the croft house.
• If you wish to assign, exhange or divide the croft during the sublet you have to give 6 months notice.

The transfer of your croft can be within your lifetime or after your death. Professional advice should be sought from a solicitor with experience of crofting when making a will to ensure your wishes are carried out. Any successors to your croft must be able to meet the duties of a crofter.