switching from communal to individual boilers

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    switching from communal to individual boilers

    I am part of a RTM group in a 24 flat block. The old communal boiler heated the stairwell , one radiator in each flat and provided hot water to each flat. This is in line with the lease, which obliges the landlord to provide communal heating and hot water. The boiler has now come to the end of its life. A heating engineering consultant has given us a report based on replacing the existing boiler with a new communal boiler (like for like). The cost per flat will be £8000. This seems like an excessive amount.
    The RTM would like to decommission the old boiler and move to individual heating in every flat.

    We are advised that in line with the lease we must provide hot water to each flat. The only way to move to individual heating in each flat, would be to alter the lease.
    Has anyone had experience of this situation? and can you offer any advice?

    #2
    So the new boiler costs £200k?

    I think I'd be getting some more quotes IIWY.

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      #3
      Whaaat! An average new boiler costs around £2,400. I agree with the RTM group and get leases altered. How do you go on if one flat uses more hot water than another under the existing system?



      Freedom at the point of zero............

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        #4
        £8000 per flat * 24 flats is a total of £192, 000.

        Should that have been £800?

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          #5
          No, £8000 is correct.
          There is no measure of whether or not some flats use more hot water than others, in fact some flats have their own independent heating/hot water and use no communal hot water! As for individual units we are stymied by what the lease says. We are advised that the cost of getting 24 leases varied will be difficult and there is no obligation for any leaseholder to agree with a majority.

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            #6
            The cost per leaseholder of varying the lease is likely to be less than the saving in going to individual boilers.

            Assuming the freeholder is for the change, you only need 18 flats to sign up, as long as no more than two actively object, before you can try to get the FTT to approve a change. There is discretion involved, though and the change has to be the only reasonable way of achieving the objective.

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              #7
              Well I think that whoever quoted £200k obviously doesn't want the work. As I said before, get some other quotes.

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                #8
                The cost per leaseholder of varying the lease is likely to be less than the saving in going to individual boilers.

                Thank you for your reply, but I'm not sure what it means. If everyone installs their own boiler (plus cost of consulting a solicitor to vary the lease) it will surely be far less than £8000 per flat.

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                  #9
                  Cost of varying leases < (Cost of communal boiler - 24 * Cost of personal boiler)

                  Nett saving to leaseholder in varying lease =

                  Cost of communal boiler / 24 - Cost of personal boiler - Cost of varying lease / 24 >> 0

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                    #10
                    I bet it ain't as simple as each flat buying their own boiler though. Boilers have to go near an exterior wall, plus of course you'll need to run a meaty(er) gas pipe to each flat. Will freeholder allow flues to be punched through the wall of each flat? Presumably the floors will need ripping up also to lay new pipes.

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                      #11
                      It is probably not that simple as you say but of the 24 flats 10 already have boilers, so I don't think it can be that difficult.
                      There is gas supplied to each flat.(or most flats as far as I know))
                      The freeholder has already commented that replacing the communal boiler doesn't seem like a sensible option so I doubt he would make an objection to flues.

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                        #12
                        I think it's time to change the leases.

                        Just what to will take some discussion and negotiation with the leaseholders.

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                          #13
                          I am a leaseholder in a block of 23 flats owned by Camden Council. The estimate for a replacement communal heating system for the block has been given as:

                          Attribute Costs (supplier): £850,000
                          Delivery Fees (council): £136,000
                          Leaseholder Fees (council): £98,600
                          Total Cost: £1,084,600
                          Cost Per Flat: £47,156.52

                          There are only 5 leaseholders in the block of 23.

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