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Peverel OM

Hello

Simple question - can you sack your land management agency? It's been a catalogue of error and extortionate charges since day one. We are the largest single development they manage and they do so very badly.

They are committed in the lease to remain the agents for 8 years after the builders leave. They should have finished by now, but temporarily ceased building 18 months ago, meaning essentially that every day that passes without the builders completing and leaving is another day paying for nothing.

Major gripes are paying for next to no service/work done
Charges going up and up every year (plus a surprise extra charge this year!)
Poor response to calls for service
Underhand tactics/bullying letters to get money
Constant complaints from residents about mistakes, errors and general incompetence.

I am worried more about the older people on the estate and Peverel’s demands for money particularly - they even frighten me. Talks of extortionate charges + VAT and even contacting your mortgage lender to get their land management charge.

I'm on the council and in a position to effect change. Please tell me there is something that can be done.

Comments

  • Fire_Fox
    Fire_Fox Posts: 26,026 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Are you confusing the work done by the developers with what you are paying for in the service charges? These are two totally different things and you must NOT withhold service charges on the basis of an incomplete development or you will end up with a charge against your property. Service charges are for health and safety including fire services, lift maintenance, cleaning and caretaking, a concierge (if you have one), gardening ...

    Peverel are well known for being a bunch of shysters. Have you run a search on this message board? Yes you can sack the managing agents, but you need the agreement of the majority of leaseholders. It's normal for service charges to go up substantially (often double) in the first few years of a new development, and it's normal for there to be adjustments to service charges each year.

    The simple fact is that if you don't pay a service charge and you haven't formally disputed the charges a managing agent CAN contact your lender and have the charges added to your mortgage. However they need to go to court first. They CANNOT take you to court or have charges added to your mortgage if you are formally disputing the charges. If they try you will be referred to a Leasehold Valuation Tribunal.

    How far have you got with complaining - are you doing so in writing (recorded delivery)? Have you received a breakdown of the charges (how much you are paying for energy bills, cleaning, internal maintenance etc.)? Have you formally requested copies of the service contracts so you know what should be done (e.g. vacuum twice a week)? Have you read a copy of your long lease to see what you are obliged to pay for?

    Read this, copy it to all the other leaseholders, and set up a tenants association (you will need a constitution etc.): http://www.lease-advice.org/publications/documents/document.asp?item=14
    I don't recommend you use your position in the council again, it comes across as intimidation and may be construed as an abuse of your position.

    I am pretty much at the end of an epic two and a half year dispute with our managing agents and have familiarised myself with the legal position pretty thoroughly. I have done everything by the book and have a folder full of correspondence and recorded delivery slips - and I have had no more than idle threats of legal action. I will be happy to pass on what I have learned.
    Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️
  • Carlex (Campaign Against Retirement Leasehold EXploitation), is a self-help group of leaseholders and other interested persons in a loose association who are affected by or concerned about the actions, financial abuses and excesses of the McCarthy & Stone plc group of companies, the various Fairhold Homes freehold and leasehold owning companies and properties managed and owned by Peverel Management Services Limited and all their subsidiary companies. Fairhold and Peverel are owned by the Consensus Business Group a company ultimately owned by Vincent Tchenguiz for the benefit of his family trust. Our aims are to endeavour to seek justice through the law and, ultimately, to achieve a change in legislation.
    The above is my personal definition and we are presently debating whether it is entirely appropriate. We would be very happy if you, ‘Fire Fox’ would join us. We would appreciate your input to our campaign. If you would be prepared to join us the please email me at: [EMAIL="deheady@btinternet.com"]deheady@btinternet.com[/EMAIL].
    Bearing in mind that we are concerned primarily with private retirement leasehold accommodation, anyone else who would like to come on board is welcome. The laws applying to what is commonly known as ‘sheltered accommodation’ (a better name would be ‘active retirement accommodation’) is, basically the same, namely the Landlord & Tenant Acts and the Commonhold & Leasehold Reform Act.
  • Fire_Fox
    Fire_Fox Posts: 26,026 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Edited version of what I have recieved as a PM from Ant Barson:

    "I have taken a lot of what you said on board, but it has thrown up more questions than answers. DWH are the developers. We pay them nothing other than the cost of the house. Peverels (P) have a contract with DWH to remain on site for 8 years after they leave. DWH were due to finish now, but have stopped development so each day passing means another day to P's remaining on site. :(

    Yes we get a breakdown, but it makes no sense to me and I'm a Data Analyst! I have a colleague on the Council who can read accounts and say's they are a nonsense, so I look forward to his 'peace' tonight. I would never abuse my position on the Council and have the general support of the residents to be assertive as we are the newest Council in the UK and the first to be formed in a very, very long time and we must set a precedent.

    Peverels are on site in order to maintain the site, which they do not do. The District Council never intended to take this site on in their maintenance schedule, so DWH instructed Peverels. There are minor issues like the first phase of the estate not paying the maintenance charge due to DWH still expecting the District Council to pick up the tab at that point. We do pay the charge and we pay full Council Tax too, but for reduced services as picked up by Peverels. If we could get the District Council to discount us the cost of the maintenance charge, this would go some way to appeasing people, but the fact that the work is not being done, that I live on a road with no green areas and pay the same as the guys who look out on green areas (communism in my eyes). On top of that is the inability to get their accounts in order (writing to people who left the estate 2+ years ago and still addressng me as the Housing Association we bought the house through (also 2 years ago)).

    Sending threatening letters to get money we didn't know we had to pay last week (an 'end of year adjustment' of over 10%) despite, as I said not having their own accounts in order. A ban on satelitte dishes and commercial vans on the estate, despite which, we look like Nasa combinded with a used van acution. Why make rules if you don't intend to enforce them. Finnally, how fo they justify taking £250,000 p.a (plus 27,500 extra this year). We know the estate could be managed for £60,000 by people on site and I believe nobody would begrudge paying onsite residents to do the work.

    I feel a referendum coming on."


    Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️
  • Fire_Fox
    Fire_Fox Posts: 26,026 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    It still appears to me that you are misunderstanding the responsibilities of the managing agents and, in fact, the leaseholders. You still seem to be mixing up the failings of the developers and the failings of the managing agents and you must curb this as they are two different entities with two distinct sets of legal responsibilities. If this ends up at a Leasehold Valuation Tribunal they will not entertain such irrelevancies.

    It is not Peverel's nor the council's fault that you are paying to maintain an area that is not green or an area that you had hoped the council would maintain. Peverel do not decide who to charge and who not to, nor what percentage of the total is chargeable to each leasehold property - this is set out in your long lease and other conveyancing documentation. Have you read this?

    What is wrong with the summary - is it just a list of invoices with no structure (we get this ...)? Have you read the Leasehold Advisory Service website that I linked to in my earlier post? This is what it says about summaries:
    "The summary should show:
    • how the costs relate to the service charge demand, or if they will be included in a later demand;
    • any items for which the landlord did not receive a demand for payment during the accounting period;
    • any items for which a demand was received and for which no payment was made during the accounting period;
    • any items for which a demand was received and for which payment was made during the accounting period; and
    • whether any of the costs relate to works for which an improvement grant has been or is to be paid.
    Where the service charge is payable by the leaseholders of more than four dwellings, the summary must be certified by a qualified accountant as a fair summary and sufficiently supported by accounts, receipts and other documents produced to the accountant. Where the landlord is a public sector body, one of their officers who is a qualified accountant may certify the summary, but otherwise the accountant must be independent of your landlord."

    Were you not properly invoiced for the end of year adjustment? Adjustments are absolutely normal and absolutely legal, and is a product of unexpected maintenance issues and changes in costs of consumables such as electricity. Whether the underlying invoices are "reasonable" or "reasonably incurred" is what you need to focus on - have you asked for access to the service contracts and invoices yet?

    Peverel did not make the rules on satellite dishes and commercial vans - again this will be a condition of your long lease. If you have a complaint about this not being adhered to then this may or may not be Peverel's responsibility (see your lease). My first thought is setting up a tenants association which will also help you address this 'in house' as well as the bullying tactics of Peverel.

    Finally, yes, the estate undoubtedly could be managed more cheaply - managing agents are profit making organisations. Do not underestimate the scale of the work involved in managing this yourself and trying to get leaseholders to cough up. A management company is supposed to fulfil it's duties regardless of whether there is money in the coffers! My parents' block partially self-manages and those on the board are subjected to an endless stream of complaints that have little to do with maintenance or cleaning. They have also had to deal with a good number of non and late payers despite the place being kept beautifully. :confused:
    Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️
  • This site might help you

    http://www.thetruthaboutsolitaire.co.uk/

    AMD
    Debt Free!!!
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