Coach House/Apartments/Service Charge

ic_117

I own a coach house on a leasehold basis and I pay my annual service charge to the management company. The coach house is located on a relatively small street of around half a dozen coach houses, a similar number of maisonettes, around 30 freehold houses and a block of approx. 12 apartments at the end of the close. On my service charge projection it breaks down the amount due to be paid and the various contributions I have to make. Part of this is for the buildings insurance for my property and garage, management fee etc. however more than 50% of my annual service charge is payments/contributions to the upkeep of the apartments at the end of the close. It is cleverly labelled as 'estate' charges, however, it's mainly for the insurance, electricity, cleaning, maintenance etc of the apartments which we share nothing communal - I have no access to or right of way from, do not form part of my property or are even visible from my house! It even clearly details the insurance I have to pay for my property and garages and the separate contribution I have to make for the buildings insurance for the apartments.


I knew when I purchased the house the amount of the annual service charge and my share to their expenditure is only around £380 p/a so doesn't break the bank, however, it's just a little frustrating to pay for something I have no benefit or use of.


I'm assuming because all the leasehold properties on the road are detailed under the same lease I have no legal means of challenging this, as I appreciate I was technically aware of my obligations and payments at the time of purchase, however, I wondered if anybody could advise if this may possible or has had a similar experiences? It does seem a little of an unjustified charge!

eddddy

As you suggest, if your service charge is being calculated as specified in your lease, you don't have a basis for challenging the calculation.

TBH, the 'legal' position is, you read (or should have read) the lease before you purchased. If you didn't like the basis of the calculation, you shouldn't have bought the property.

Tom99

[FONT=Tahoma, sans-serif]Check your lease very carefully to see what you are liable for. Is it a fixed %age of a certain set of services or is it expressed as a fair proportion etc. They may be room for argument.

[/FONT] [FONT=Tahoma, sans-serif]Are the charges listed for the apartments in respect of their common parts whereas you don't have any common parts?

[/FONT] [FONT=Tahoma, sans-serif]With such a divergence of dependence on common services the apartments should have a different service charge clause saying they were responsible for x% of the services to the apartments only.

[/FONT] [FONT=Tahoma, sans-serif]You might be able to download a copy of an apartment lease from the LR and compare the clauses on your lease v theirs. Maybe they are being undercharged relative to what their lease says.[/FONT]