Property Management
Commercial Management
If you own commercial property which is let, it will be important to appoint a commercial managing agent who understands the law relating to landlords and tenants.
The majority of this is contained within the Landlord and Tenant Acts of 1927 and 1954 and subsequent legislation has dealt with matters including limitations on Privity of Contract.
Our Surveyors within our Property Management Department are familiar with these acts and experienced in dealing with the Notices which need to be served on Tenants at various stages throughout the Lease.
Jonathan Berney Consultant Surveyors and Valuers are conversant with commercial rent levels and can manage the property and act for you when it comes to rent review negotiations in the future.
Residential Management
Managing a block of flats will involve an immense amount of work and so this is where Jonathan Berney Consultant Surveyors and Valuers can assist our clients. Although some freeholders/leaseholders may opt to manage the property themselves, they must consider the time and effort this will take and whether or not they are willing to take on the personal responsibility. Managing residential blocks of flats has different legal implications from private individual houses and therefore compliance of the statutory regulations that effect residential block management is essential. Factors to consider when managing your property are:
Legislation
There are a number of pieces of legislation which affect the management of a block of flats, these include:
- Landlord and Tenant Acts 1985/1987 – These Acts form the basis of leasehold legislation in England and Wales.
- Leasehold Reform Housing and Urban Development Act 1993. The Act allows the right to enfranchisement on a collective basis. In addition, residential long leaseholders are able to purchase a new lease.
- Commonhold and Leasehold Reform Act 2002 – The Act improves the rights of leaseholders/freeholders and offers greater control over the management of their property. The Act provides for freedom of choice in the management of property and has strengthened the law surrounding leaseholders’ rights.
- Disability Discrimination Act 2006 – The law provides new provisions for overcoming barriers to access in common parts of residential let premises.
- Control of Asbestos Regulations 2006 – The law covers the prohibition of asbestos, the control of asbestos at work and asbestos licensing. The new legislation will impact upon common parts of flats.
- Electricity at Work Regulations 1989 – The law provides for the maintenance of electrical equipment to ensure its safety to those using it and provide a safe system of work in connection with electrical systems.
- Fire Regulations 2006 – The law creates an emphasis on fire prevention and reducing risk. The law places responsibility to ensure the safety of everyone who uses your premises and in the immediate vicinity and does away with the need for fire certificates.
- Health and Safety at Work Act 1974 – This law requires compliance with all health and safety requirements applicable to the building. You should devise and maintain a health and safety policy and arrange regular risk assessments.
Our role as Managing Agent
Subject to the terms of any written agreement, for an agreed fee Jonathan Berney Consultant Surveyors and Valuers acting as managing agents would undertake the following:
- Collect service charges from leaseholders/tenants.
- Instruct with the clients consent, solicitors in the collection of service charges.
- Prepare and submit service charge statements.
- Pay for general maintenance out of funds provided and ensure that service charges
and all outgoings monies are used for the purposes collected under the lease and in
accordance with legislation.
- Produce annual spending estimates to calculate service charges and reserves, as
well as administering the funds and providing information to accountants.
- Produce and circulate service charge accounts and supply reasonable information
to Leaseholders/Tenants and any residents’ association. Liaise with accountants
where appropriate.
- Administer building and other insurance if instructed and authorised, subject to
Financial Services Authority Regulations.
- Engage, if instructed on behalf of clients, and supervise staff such as caretakers,
gardeners and cleaners (if staff are employed at a property the basic fee may be
increased to reflect the additional work).
- Arrange periodic health and safety and fire risk assessments.
- Visit the property to check condition and deal with minor repairs to buildings
plant, fixtures and fittings. An appropriate frequency for visits should be agreed.
- Subject to time and budget constraints, deal reasonably with enquiries from
Leaseholders/Tenants.
- Keep records on tenancies.
- Keep clients informed on changes in legal requirements, including any statutory
notices and other requirements of public authorities, and check compliance with
lease terms.
- Advise on day-to-day management policy.
- As part of the terms of engagement, a ‘menu’ of charges for duties outside the
scope of the basic fee could include the following. (It does not follow that
additional charges for these duties can always be passed on to
Leaseholders/Tenants by inclusion in the service charges).
- Preparing specifications, obtaining tenders and supervising substantial repairs or
works.
- Preparing statutory notices and dealing with consultations where the Landlord and
Tenant Act expenditure as amended by Commonhold and Leasehold Reform Act
2002 are to be exceeded.
- Attending at courts and tribunals.
- Advising on rating, planning, improvement, other grants and valuations.
- Handling insurance claims.
- Preparing replacement-cost assessments for insurance purposes.
- Considering Leaseholders’/Tenants’ applications for alterations.
- Advising on and dealing with assignments of leases, sub-letting, change of use and
Home Information Pack requests.
- Preparing schedules of dilapidation or condition in respect of individual dwellings.
- Copying documents, insurance policies and accounts.
- Employing and working with other advisors.
- Charging the cost of overseas telephone calls and faxes.
- Giving information to vendors of the leasehold interests in the individual dwelling,
as required under Home Information Pack Regulations. Answering specific
enquiries from prospective purchasers of their legal advisers.
- Providing accommodation for meetings and inspections of documents.
- Working outside normal office hours.
- Providing answers to lessees on pre-contract enquiries.
- Dealing with non-routine matters.
- Advising on termination and handover of management and service contracts.
- Carrying out duties of a company secretary.
- Recruiting and employment of site based staff.
- Undertake additional duties with a landlord as required under Right to Manage.
- Advising on and dealing with long term maintenance plans.
For an indication of our fee structure, please contact the Property Management Department who will be pleased to answer any enquiry you may have.