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Section 20 Major Works

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  • Hi, i am new to the forum. Sorry to deviate from the initial discussion, but I'm desperately looking for some advice.

    I own a flat in which is part of a 16-unit multi-storey new build constructed in 2016. I have been a leaseholder since its completion. Unfortunately, we have been experiencing a roof issue with water ingress for the past 2 years. The freeholder, who also resides in the building, acknowledges that this issue stems from the original construction, but the builder has refused to address it. Consequently, the freeholder has triggered Section 20 to give notice for major repair works.

    Under normal circumstances, insurance would cover this. However, my insurance warranty company, has defaulted. Only myself and one other owner are with this Insurance, while the majority of the owners are covered by another insurance company, which has agreed to cover 14 of the 16 units.

    The end result for me is a hefty bill, which i do not feel reasonable. Is there anything I can do to dispute ? This is an inherent defect that existed when the building is constructed back in 2016.

    thanks

  • das1969 said:
    Yes I think the idea of doing the roof in sections is spurious due to obvious extra costs. Thanks to 
    Tucosalamanca who has pointed out that repairing in sections can lead to leaks spreading from old to renewed sections anyway. There are some shared walls between sub-blocks, it's entirely possible one sub-block could have its roof renewed and still have water ingress occurring from a leak in the roof on a neighbouring area.

    I'm going to suggest to the managing agent that the fees start to include a payment plan for a new future roof in 20-25 years time so this doesn't happen again. The current agent was only appointed four years ago, and the sinking fund was allowed to dwindle away under the previous agent has not been able to be built up again due to inflation etc.

    I've already paid for mine, I'm in the lucky position of being able to do so. I'm on the top floor, and there hasn't been any leaks so far. Being on the top floor I'll also get the benefit of much improved roof insulation, so there should be significant savings on energy costs in the future.

    Hi I'm late to this I know but am in same position as yourself.  When you say you have paid for yours, i take it you mean your share of costs for the section 20 work schedule.  I think this will be my preferred route, but how did you protect yourself from creeping inflationary rises please?  Does your agreement to pay in full indemnify you from any further demands for payment, even if the work doesnt start for years?  Sorry if being a bit dumb, but this is new to me.  We dont have sufficient reserve or sink fund, so will likely be asked to pay in full or on payment plan.  Keen to get it paid in full and be done with it!  Grateful for your insight and experience on this.
  • user1977
    user1977 Posts: 17,841 Forumite
    10,000 Posts Seventh Anniversary Photogenic Name Dropper
    das1969 said:
    Yes I think the idea of doing the roof in sections is spurious due to obvious extra costs. Thanks to 
    Tucosalamanca who has pointed out that repairing in sections can lead to leaks spreading from old to renewed sections anyway. There are some shared walls between sub-blocks, it's entirely possible one sub-block could have its roof renewed and still have water ingress occurring from a leak in the roof on a neighbouring area.

    I'm going to suggest to the managing agent that the fees start to include a payment plan for a new future roof in 20-25 years time so this doesn't happen again. The current agent was only appointed four years ago, and the sinking fund was allowed to dwindle away under the previous agent has not been able to be built up again due to inflation etc.

    I've already paid for mine, I'm in the lucky position of being able to do so. I'm on the top floor, and there hasn't been any leaks so far. Being on the top floor I'll also get the benefit of much improved roof insulation, so there should be significant savings on energy costs in the future.

    Grateful for your insight and experience on this.
    They haven't logged in since February.
  • eddddy
    eddddy Posts: 18,013 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    BearAssCheek said:

    Hi I'm late to this I know but am in same position as yourself.  When you say you have paid for yours, i take it you mean your share of costs for the section 20 work schedule.  I think this will be my preferred route, but how did you protect yourself from creeping inflationary rises please?  Does your agreement to pay in full indemnify you from any further demands for payment, even if the work doesnt start for years?  Sorry if being a bit dumb, but this is new to me.  We dont have sufficient reserve or sink fund, so will likely be asked to pay in full or on payment plan.  Keen to get it paid in full and be done with it!  Grateful for your insight and experience on this.

    The section 20 consultation process involves getting firm quotes from 2 or 3 or more contractors, for the specified work, in the specified timescale.

    For example, the quotes might be for "repainting the outside of the building within the next 3 months"

    If a quote for, say, £10k is accepted and therefore a contract specifying £10k is signed - there won't be scope for the contractor to increase their price.


    But the quote might include a 'contingency sum' of, say, 15%. For example, a contractor might say:

    "Based on what can be seen, it looks like £10k worth of repainting. But once we start the job we might find more rotten woodwork etc which needs replacing. So we're quoting £11.5k to include a £1.5k contingency - to cover any unforeseen problems. But if no problems are found it will be £10k"


    You mention paying in installments... Is your freeholder a Council, Housing Association or similar?

    If not, private freeholders don't usually offer installment options - because they don't have the 'spare cash' to pay the  contractors for the work, while you pay in installments over an extended period.


  • das1969
    das1969 Posts: 19 Forumite
    Seventh Anniversary 10 Posts
    edited 2 August 2024 at 11:16PM
     Hi. 

    The works are now actually underway, with my roof being one of the first to be replaced. 

    What happened in the end was that enough people paid so that work on all except one of the blocks could begin, and then in the end I think someone in that block caved and paid up so that roof has now been included in the works. This all happened quickly enough that the original submitted costs from the roofing company hadn't changed.

    Some people still have not paid, so the roofs above the commual staircase areas have still not been scheduled to be done.

    I haven't heard anything but l'm assuming the agent to pressuring late payers still, and potentially pursusing them for non payment through the County Court.
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