Would you go bankrupt if you had a quarterly service charge demand for £102,000

coypondboy

250 leaseholders in a block of flats in central Leeds have just recived their quarterly service charge for Oct to Dec 2021.  It is normally £600 but due to not meeting the new fire safety regulations introduce earlier in the year their managing agt has just issued them with their share of costs to meet the new rules.

They have 30 days to pay before legal action starts for non payment.  

TripleH

They are asking for £25.5 million in total for the work?!!!

How much is the flat worth?

I can't see them starting legal action after 30 days as I can't see many people having that much spare cash around... but still...

Norman_Castle

Any links to where this information is from?

mjm3346

Check their posting history for other info

coypondboy

https://www.thetimes.co.uk/article/cladding-scandal-i-paid-180-000-for-my-flat-then-got-a-101-000-bill-to-fix-it-kv5ts8ml5?utm_medium=Social&utm_source=Twitter#Echobox=1634455675

Morfx

coypondboy said:

https://www.thetimes.co.uk/article/cladding-scandal-i-paid-180-000-for-my-flat-then-got-a-101-000-bill-to-fix-it-kv5ts8ml5?utm_medium=Social&utm_source=Twitter#Echobox=1634455675

Want to read out of interest, but my SOA in BR wouldn't really allow me a newspaper subscription. If you wouldn't mind copying and pasting... 🤣👍

cx6

You can google '£101,000 cladding' and get hits eg Cladding: Leeds flat owners on 'purgatory' of cladding bill fears - BBC News

The £101k is her share of fixing the cladding - not due yet as they have applied to the gvt scheme fo money but if they fail then it will become due.

She could choose to go bankrupt if the equity in her flat plus other assets don't cover this.

coypondboy

Whats really terrifying for any leaseholder in a flat is the new building safety rules going through parliament as we speak summarised quite well in following thread.
Is the UK's Cladding Crisis About to Get Even Worse? | naked capitalism