Boardroom brunch: major works & consultation

Where a landlord (which, for these purposes, includes residents’ management companies and right to manage companies) intends to carry out a project of major works and intends to recover the cost from leaseholders via the service charge, Section 20 of the Landlord and Tenant Act 1985 (as amended) requires the landlord to undertake consultation or obtain dispensation from the Tribunal where the costs exceed £250 for any one leaseholder.

Planning and managing a project of major works is an important part of any property manager’s job. Get it wrong, and there are serious consequences.

That’s why it was my pleasure to collaborate with Julian Davies of Earl Kendrick Surveyors in hosting a boardroom event in Manchester.

We had a lively discussion focusing on the factors affecting our industry relation to Section 20 and major works. Julian and I were on hand to guide the discussion, and provide our know-how and expertise on both surveying and legal issues.

One of the interesting points arising from our discussions was the impact on consultation exercises if the limit was increased from £250.

Based on the collective experiences of the attendees, increasing the limit to, say, £750 or £1,000 would reduce the need to consult in a substantial percentage of cases. Not having to consult would also be a cost saving to leaseholders, who would save the charges often applied by managing agents for undertaking the consultation process.

A major theme we came back to throughout the boardroom event was education and knowledge within our sector. These are areas I am passionate about, creating and maintaining PM Legal Hub to do my “bit” for education and knowledge sharing.

Cassandra Zanelli

Widely recognised for her expertise in the industry, and listed among the 100 most influential people in residential leasehold management, Cass heads the team at PM Legal Services. Passionate about education and sharing knowledge, she's a regular speaker at conferences, events and seminars, having worked with leading organisations in the property management industry.