Block management simply put is managing blocks of flats where the individual properties are owned by various leaseholders. As the managing agent, our main roles include; arranging for maintenance, collecting service charges, looking after the communal areas, and a number of important legal responsibilities.
Top 10 responsibilities of the Block Manager:
1. Knowing the lease terms
Often, individual flats in the same block can have different lease terms. As manager, we need to know what each owner is permitted to do and what we’re required to do for them.
2. Enforcing the lease terms
If any leaseholder breaches the terms of their lease – e.g. by sub-letting or making unauthorised alterations to the property – we’ve got to deal with the issue.
3. Insurance
Each leaseholder’s service charge includes a contribution to buildings insurance for the whole block. We have to inform the insurer:-
- How many flats are owner-occupied
- How many are rented out
- What type of tenants are living there
This helps ensure we have the right cover for the block’s circumstances.
4. Health & safety
As manager, we are responsible for making sure the site always complies with health and safety law and that all maintenance works are carried out by approved contractors.
5. Fire safety
We are responsible for having a risk assessment carried out and must ensure the right fire safety measures are in place for the communal areas, including fire doors, alarms, extinguishers, etc. The best way to do this is have a professional fire safety representative visit to carry out the assessment and inform us of what needs doing.
6. Routine inspections
We’ve got to schedule regular inspections of the communal areas, inside and outside the building, to make sure the property remains in good condition and nobody is violating any of the terms of their lease.
7. Keeping detailed records
It’s our responsibility to keep clear, detailed records of all works, payments, inspections, etc.
8. Accounting
Among other things, we are responsible for:
- Collecting service charges and ground rent
- Budgeting and making sure there’s always enough money in the management account
- Allocating resources
Making sure accounts are prepared correctly for the shareholders of the block.
9. Section 20 Notice for works to the building
This is complex but, if certain building works need to be carried out and the cost to each individual leaseholder will be more than £250, there is a three-stage consultation procedure that we need to follow. If it’s not done properly, we could be liable for any cost of the works, over and above £250 per leaseholder.
10. Keeping up to date with legal changes
We must make sure we know about and understand all new legislation and amendments to existing laws that will affect the block and our management of it.
If you have any questions about right to manage, please don’t hesitate to reach out to our team hello@horizonmanagement.co.uk
Related Articles
- A Guide to Block Management
- Why Does a Building Need to be Managed?
- What Is The Difference Between Leasehold & Freehold?
- Leasehold Misconceptions
- Leasehold Reform (Ground Rent) Act 2022