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A residential block which had for 40 years gradually drifted into deterioration, is finally moving in the right direction, according to its managing agents.
The 54-unit Frognal Court, near Hampstead in London, was the subject of a landmark case in 2011 (Garside & Anson v RFYC and Maunder Taylor), in which the Upper Tribunal decided that managing agents must consider the financial impact of major works on lessees and whether to phase works so they become more affordable.
Managing agents, Maunder Taylor proposed major works totalling more than £600,000. A minority of the leaseholders pleaded that the costs demanded were unreasonable, that they could not afford to pay and the works and cost should spread over a longer period of time. On Appeal, the Upper Tribunal (Lands Chamber) agreed with the flat owners, in principle, and the particular works had to then return to the LVT to consider the detail.
Roger Southam, Chairman & Chief Executive of Chainbow, was later Appointed Manager of Frognal Estates.
He explained how the development is progressing: “The first step was to abandon the on-going tribunal claim and court cases so a fresh start was made. Secondly, Chainbow established a series of leaseholder meetings, reports which detailed expenditure against budgeted items each quarter and, most importantly, a three-year programme scheduling works to be undertaken.”
After next collecting historic arrears, Chainbow established a service charge budget, and this is being implemented in conjunction with a maintenance programme for major works.
“Chainbow has hit bumps along the way with disruption and friction between leaseholders but the development is finally moving in the right direction,” said Southam.