Readers’ forum: Treatment of shares in freehold on disposal

I have been speaking to a client who is purchasing a leasehold flat in a block of three.The freehold is owned by a management company and the client is being offered shares in the company as part of the leasehold purchase. However the third flat owner is not taking shares in the company. It has been agreed that the shares in the company will be split 50:50 between two leaseholders so that neither has a controlling interest but this is on the understanding that the shares making up the third of the company that relates to the third flat will be transferred to the third flat owner at par if the third leaseholder so requires.

The flat will be the client’s only residence so should qualify for main residence relief. However I am having difficulty ascertaining how the shares in the freehold property company will...