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This article looks at the landlords position with regard to existing maintenance contracts after tenants take over the management of a block of flats by exercising their right to manage or purchasing the freehold. This article will not look at the criteria required to take over the management, merely the consequences. Prior to either of the above events the landlord may have the liability to manage the block (with or without the separate management company) and he may have entered into a number of contrac

RESIDENTIAL APARTMENT blocks continue to need staff and managing agents, recession or no recession, so it’s not all doom and gloom! Managing Agents are popular at times of economic downturn, same as cobblers - people are being thriftier with their cash and getting their shoes mended as opposed to splashing out on a new pair - and take-away firms - staying in is the new going out! Yes, there are redundancies being made within residential block management but the reasons for such redundancies is largely du

With contractors likely to face capacity problems during switchover, some less responsible landlords will delay improvements needed due to the financial crisis or just simply to save money. It is important for residents to avoid facing a ‘blank’ screen when their area switches off the current analogue signals over the next few years. With the Border region next to switch to ONLY digital later this year, the potential for ‘switch-off’ could affect thousands. Residents may be forced either to pay inflated

It’s something governments are fond of doing: facing an immediate and urgent problem; what better than to commission a long-winded academic inquiry lasting many months? This effectively deflects inquiries and calls for action on the basis that ‘we must wait for so-and-so’s inquiry to finish,’ or ‘we must allow whatsisname to reach his/her findings without undue interference.’ Months later, the academic report is duly published. It is long, dense and full of vague and woolly recommendations and worthy pl

During the past five years, while buy-to-let has been the new gold, and property programmes have bashed on about how it only takes some faux-wood laminate and a bevvy of brushed steel door handles to turn a dump into a desirable rental for ‘young professionals’, I’ve heard a different message coming back from flat owners who see their property as a home, not an investment.Complaints about absentee leaseholders, unruly subtenants and fractured communities have been a steady, although muffled, accompanimen

Question Is it common practice for boards of management companies of blocks of flats to publish their board minutes?Mr. H Andrews ANSWER Although there is no requirement for board minutes to be published, you should be aware of the law in this area. Section 248 of the Companies Act 2006 requires every company to record the minutes of the meetings of directors, and to keep these minutes for at least 10 years from the date of the meeting. The minutes are evidence of the proceedings of the meetings and failu

Question I am a member of the residents committee at Carlton House in Southsea. We are claiming the Right to Manage on the understanding that we will be able to arrange our buildings insurance. The relevant clause in our Lease states:‘To insure and keep insured...the building and the aggregate of two years rent thereof with the Commercial Union Insurance Company Limited or such other Company as the Lessor shall direct against the insured risks to the full re-instatement value thereof (including profession

Question Dear Sir,On obtaining the lease of my flat several years ago, I found myself the prime mover in acquiring the freehold of a block of 36 purpose-built flats, and this was successfully achieved. Each director of our freehold company has specific expertise in their area of responsibility and in consequence our maintenance charge, comparing ‘like with like’ is doubtless the lowest in the district whilst retaining efficient standards of service and cosmetic awareness.As a result of necessary complete

Question Dear Sir,We are a small business with eight-ten staff specialising in luxury development cleaning of communal areas, plus window and carpet cleaning. We have been in business since 1977 and just recently have been asked by one of our management companies for a preferred contractors’ fee. We did pay it last year. What right have they to ask for this money and can we refuse the £1,500+VAT?Name and Address supplied ANSWER David Hewett, of ARMA.org.uk, replies: ‘We assume when you say Management Comp

Question Dear Sir,My wife and I are retired and have two flats in London. We lived in a flat for 20 years then three years and two months ago I bought a second flat and after three months of works we moved into it and paid full council tax on this property, and half council tax on the empty, untenanted property we left behind. We could not sell the property for the sum we wanted over the past three years, and it has been on the market all that time.If we sell the first property I have been told I may have

It seems strange to say, but the credit crunch is not all bad news. If you are an astute flat owner, the economic climate presents more opportunities than problems. You’ve been thinking about extending your lease? In the overheated market of recent years, it seemed both unnecessary for marketability and prohibitive in cost. Neither applies now. With flat prices in freefall, a short lease is a deterrent to sale. You need all the edge you can to shift the flat and a newly extended lease will help. The cost

This is understandable as RMCs’ directors will at some point have to make difficult decisions regarding the behaviour of their neighbours. Enforcing covenants against neighbours can prove difficult and does not sit well with most people, who don’t want to be in conflict with those living in their block. This is where an agent can help. Agents are ‘expert’ on those matters which we hold ourselves out to provide. We take the necessary steps to enforce leases, collect fees and order works all in the name