About disposals

A disposal occurs when charity land is sold, transferred or leased. Disposals can also include granting someone rights over the charity's land, including:

• mortgaging or using charity land as security for a loan or grant
• easements, eg fishing rights and rights of way
• access to facilities on charity land

In most cases trustees can dispose of land their charity owns without asking the Charity Commission for approval, as long as they take certain steps which the law requires. These legal requirements make sure that the trustees:

• manage the transaction properly in the charity's interests, eg getting a solicitor to ensure all legal documentation is completed
• give public notice if the land is used by the charity to meet its charitable purposes, ie giving anyone affected the chance to make a representation
• take (and act upon) professional advice, eg a report from a qualified, experienced surveyor

Trustees have a duty to get the best price they can for the land or property, unless they are:

• meeting the charity’s aims by leasing land or property for less than best price to a beneficiary
• selling, leasing or transferring land or property to another charity

The Charity Commission can't provide advice on land or property disposals. You should contact a solicitor or qualified surveyor.

• Find a solicitor (service provided by the Law Society, opens in new window)
• Find a surveyor (service provided by the Royal Institution of Chartered Surveyors, opens in new window) 

See also:

• Sales, leases, transfers and mortgages: what trustees need to know about disposing of charity land (CC28)
• Case studies on charity land leases 
• Case studies on sales of charity land 

Where Charity Commission consent is needed for disposals

You need to contact the Charity Commission for approval if you haven’t followed these steps, or because:

• you want to sell the land to someone connected with the charity, eg a trustee, volunteer or employee (or their friends or relatives)
• you don’t have the power to sell the land because your charity’s governing document explicitly forbids it
• you have received advice from a surveyor but don’t want to follow it
• the land is currently used by the charity to meet its charitable purposes and you are not planning to replace it

Use this contact form to apply for Charity Commission consent to dispose of land:

• Contact the Charity Commission

If you need our approval to sell land to a person connected with your charity, you should also download, complete, scan and attach the following PDF form:

• Request to sell land to a connected person (PDF form)
• Guidance on completing the form (PDF)

Frequently asked questions

• How do we dispose of land that is vested in the Official Custodian for Charities?
• Can we vest land in a charity we are merging with?
• Can we take out a mortgage on land our charity owns?
• Does the Commission have the deeds to our land?
• Can we complete a property transaction even though our charity is losing its exempt status?
• Should my charity pay tax on the income it gets from renting out property?
• Does my charity have to pay Capital Gains Tax?