Service charges.

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    #16
    I still think that the lease procedures need to be re-started. Previous cessation does not change what they say.
    To avoid mutiny, convene a meeting with lessees and explain to/at them. Each bought a leasehold in full knowledge (actual or imputed) of what obligations would be binding on leaseholder.
    JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
    1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
    2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
    3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
    4. *- Contact info: click on my name (blue-highlight link).

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      #17
      ...and what provisions appeared (in Contract or Transfer or both) re service charge funds?
      JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
      1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
      2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
      3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
      4. *- Contact info: click on my name (blue-highlight link).

      Comment


        #18
        the lessees

        There are only two of the original lessees left.Probaly the only two with the amenities agreement attached to their leases ( It was a seperate document).The leases explain their financial obligations of the repair and maintenance but nothing about how or when it is collected.

        There is another part I don't understand. ( from time to time as occasion shall require during the term at the lessees expense well and substantially to renew repair uphold support maintain cleanse amend and keep in good and substantial repair and condition the premises and all walls sewers drains cisterns cables wires fixtures and appurtenances now or at any time during the term hereby created forming part thereof in good and tenantable repair and condition and to maintain the structure of the premises in a such a state of repair and condition as shall at all times hereafter ensure the maintenance of support and protection to the other maisonettes in the property etc)

        Then further on in the lease it states (at all times to contribute one sixth of the cost of maintaining repairing and renewing

        (a) the roof and timbers of the property.
        (b) the foundations of the property
        (c) the gutters pipes and other things for conveying rainwater from the property

        (d)the water pipes cisterns sewers drains conduits electric wires and other installations in under or upon the premises and the property enjoyed by the lessee in common with the owners or occupiers of the other maisonettes in the property.

        a,b,c I understand but where is the line drawn between the first statement and (d).

        I have an ongoing dispute with one of the leaseholders which is pushing me to sort out the service charges.Each property has its own water main and water meter.So not enjoyed by all but only each lessee.If it fails is it one sixth cost or the expense of that lessee.I could split the bill between 6 and send it to them but I'm not sure that they are responsible.

        I agree that there should be a meeting.Except that the leaseholder I'm having trouble with is a problem.Already they have threatened my husband whilst he was up a ladder (26ft) painting the eaves( told him he wasn't safe up there while they were at the bottom).He painted them all except the problem leaseholders eaves.No charge was made to any tenant.

        I would like to put a letter together to inform them all of the position but I need to be correct and I don't want to confuse or worry them.
        Mrs Dingle

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          #19
          In Contract or Transfer. I don't know.As far as I can see there is nothing mentioned in one of the contracts(second block). Maybe my solicitor will be able to answer this when she contacts me.
          Mrs Dingle

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            #20
            Originally posted by Mrs Dingle View Post
            There is another part I don't understand. ( from time to time as occasion shall require during the term at the lessees expense well and substantially to renew repair uphold support maintain cleanse amend and keep in good and substantial repair and condition the premises and all walls sewers drains cisterns cables wires fixtures and appurtenances now or at any time during the term hereby created forming part thereof in good and tenantable repair and condition and to maintain the structure of the premises in a such a state of repair and condition as shall at all times hereafter ensure the maintenance of support and protection to the other maisonettes in the property etc)

            Then further on in the lease it states (at all times to contribute one sixth of the cost of maintaining repairing and renewing

            (a) the roof and timbers of the property
            (b) the foundations of the property
            (c) the gutters pipes and other things for conveying rainwater from the property
            (d)the water pipes cisterns sewers drains conduits electric wires and other installations in under or upon the premises and the property enjoyed by the lessee in common with the owners or occupiers of the other maisonettes in the property.

            (a),(b),(c) I understand but where is the line drawn between the first statement and (d).
            The first statement relates to items within/serving one flat only. (d) relates to items serving all flats ['in common'].
            JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
            1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
            2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
            3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
            4. *- Contact info: click on my name (blue-highlight link).

            Comment


              #21
              So, is the mains water pipe supplying an individual dwelling the sole responsibility of that dwelling.All dwellings have their own meter and supply pipe.Nothing shared.
              Mrs Dingle

              Comment


                #22
                Originally posted by Mrs Dingle View Post
                So, is the mains water pipe supplying an individual dwelling the sole responsibility of that dwelling.All dwellings have their own meter and supply pipe.Nothing shared.
                Yes. It's not used 'in common', so service charge does not cover it.
                JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
                1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
                2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
                3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
                4. *- Contact info: click on my name (blue-highlight link).

                Comment


                  #23
                  Thank-you for your help in this matter.The reason for asking about this pipe is that the leaseholder is claiming a leak and that I should pay.I am trying to sort out the service charges ,ammenitiy charges etc before contacting them all.Further complicated by the fact that 3 leaseholders are about to put theitr leases on the market and i will have to respond to solicitors with correct information.I would like to get agreements/communication with them before that time.
                  Mrs Dingle

                  Comment


                    #24
                    It is normal practice to prepare an annual budget statement for the service charge account to send out with the service charge invoice to each flat . The budget would show details of expected expenditure - for example :

                    Service charge 2008 budget for Flats 1-12 at 68 Green Lane.

                    Building insurance cover ( say) 1000
                    Electricity for communal areas 300
                    Garden maintenance 200
                    Sinking fund ( external painting) 800
                    carpark re-surfacing 3500
                    Accountant 500

                    Total 6300.

                    The money collected should be paid into a separate bank acount.

                    Comment


                      #25
                      Thanks for that information tenant29.That is an arrangement I would like to put into place.The previous landlord stopped collecting any money at all.So none of the leaseholders have been paying any money into a service charge account for the building or sinking fund for the ammenities.They have been happily funding their own repairs.Except for the ground rent and insurance which I collect when due.

                      I should have sorted out the annual charges sooner.One of the leaseholders is continually trying to claim on the insurance,refusing to pay insurance,refusing to pay ground rent ,parking on the common area and generally causing distress to all.

                      I think I'm getting there. Asking questions and reading other posts on this website is extremely helpful.It is good to read the comments of leaseholders.
                      Mrs Dingle

                      Comment


                        #26
                        I have received a call from my solicitor and during discussion we have come to the conclusion that I have copies of all the paperwork .She also agreed like you that the mains water supply to one of the leaseholders was their resposibility.

                        I discussed the "sinking fund " issue and she agreed that it would be correct to send a letter explaining the obligations and suggesting a way forward.I thought that to ask for a share of the carpark works of £3500 would be unfair.She replied yes but that unscrupulous landlords would just send the bill and would probaly have trouble collecting it but in the end they would have to pay because of the lease.

                        So,back at the ranch I'm putting a letter together.Encouraging the leaseholders to work together for the better.
                        Last edited by Mrs Dingle; 28-02-2008, 21:28 PM. Reason: spelling
                        Mrs Dingle

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