BGRMO manages a number of properties on Blenheim Gardens Estate that have been sold either with a lease or freehold with a service charge.  This Charter provides a general guide to our obligations as a landlord and your obligations as a homeowner.  

What is a lease?

A lease is a legal agreement between the landlord (the freeholder) and the person buying the lease (the leaseholder).  It gives the leaseholder rights over the property for a fixed term of years.  For Right to buy leases this is usually 125 years.

Buying a long lease on a property gives you the right to live in that property for the number of years that are remaining in the lease. During that time you are able to sell the lease of the property to another person/company.  The lease sets out the obligations of both the leaseholder and the freeholder.  Whether you purchased your home from another leaseholder or from the Council under the Right to Buy, you will have purchased the lease on the property.

Although you will own the lease for your property, there is still a landlord and tenant relationship between yourself and the freeholder.  In some cases therefore, in documents and legislation you may find that you are referred to as a ‘tenant’.  At the end of the lease, the property will once again return to the freeholder.  In most cases you can apply to have the lease extended and in some circumstances apply to buy the freehold property.

What repairs am I responsible for?

Leaseholders are responsible for maintaining the inside of their property.  This includes:

• Floor surfaces including floorboards

• Ceilings and plaster boards

• Plaster or plasterboards to the walls

• Glass in the windows but not the window frames

• All doors and frames inside the flat, including the front and back doors.

• Pipes, wires and cables that service your property.

• Decorations inside the property

• All fixtures and fittings inside the property, including plumbing, sinks, bath and toilet.

• Electrical and gas appliances

What repairs are we responsible for? 

• Repairs to structure of the property including your Roof

• Repairs to the outside of your property and common areas

• Blockages to waste pipes external to your property

• Burst or leaking pipes external to your property   

How do I report a repair?

Leaseholders can report a repair in exactly the same way as council residents on the estate.  Please refer to the repairs section.

Why do I have to pay a service charge?

Service charges are collected to cover the running cost of the block in which your property is situated as well as common areas to the estate.  These costs include

• Leasehold Management

• Estate Cleaning

• Estate lighting

• Ground Maintenance

• Pest control

• General Maintenance

• Building Insurance

What is ‘Rechargeable Works’?

Work that is rechargeable under section 20 of the Landlord and Tenant Act 1985 (as amended)

What is section 20 rechargeable work?

Sometimes we need to spend a lot of money to carry out repairs to meet our responsibilities under the conditions of the lease.  This spending might include:

• The cost of a new roof to your building.
• Putting a new lift in the building.
• Replacing the window frames and windows of any flats
  in the building.
• Repairing roads, paths and walkways on the estate.

Section 20 rechargeable work is a service charge.  It is work that costs more than a set limit.  The limit is set by the Secretary of State and is currently: £1000 or £50 multiplied by the number of leaseholders concerned; whichever is greater.  We will bill you separately for Section 20 rechargeable work.

We, as the freeholder, are responsible for maintaining and repairing the structure of your flat and the shared areas in which the building is situated.  We are also responsible for the estate that your house or building is on. We aim to provide estimates for section 20 rechargeable work at least one month before the work begins.

Do I have to pay towards this work?

Under the conditions of your lease, you must contribute to our expenses in carrying out work that is recharged under a section 20 notice.  We have to give you notice before we carry out this work to your building, block or estate.

We recognise that charges arising from this type of work can cause financial difficulties.  Although you do not have to pay when you receive the estimate on the section 20 notice, we will send you a bill once the work has been completed and you must pay this immediately.  We are not allowed to run a sinking fund (this is a scheme where we charge homeowners a regular amount each month to help pay for work that is carried out over the period of the lease).  You might want to think about how you will pay your share of the costs once we issue the bill.  You should consider opening a building society account so you can save regularly for future large bills. Your savings will also earn you interest.

How much notice does the landlord have to give leaseholders?

Under section 20 of the Landlord and Tenant Act 1985 (as amended), we, as your landlord, must give you one month’s notice (except in an emergency) before we start this work.

What about urgent work?

We still need to tell you about urgent work, but we do not have to keep to the time limits.  So, we may start work immediately.  However, we must show that we have acted reasonably.

What else is involved?

We, as a landlord, must get at least two estimates for the work, one being from a company that is not connected to us in any way.  It is currently our policy to obtain at least three quotes for the work.  Sometimes, not all of the companies actually send us back an estimate for the intended work.

We, as a landlord, must serve a notice on you that describes’ the work.  We will also invite you to make comments about the proposed work. In the served section 20 notice, we give you our name and address so you can make your comments.  The notice gives a date by which any comments should be received.  You are entitled to look at the estimates and tender documents.  These are generally available by making an appointment at estate office. You may make photocopies of the documents presented, but there may be a charge for this service.

What if I disagree with the estimate?

You should contact your housing office within a one-month notice period.  Your comments will be considered within this period.

What if I do not want the work to be done?

We will consider all views put forward by homeowners and tenants.  However, it is part of our duty to repair and maintain the building, block or estate.  For example, we could not normally consider requests for a leaseholder’s flat to be excluded from a contract as under the terms of your lease you must contribute to the scheme.  We must act reasonably as our decisions can be legally challenged.

Can I choose a contractor?

You do not have the right to nominate a contractor unless you belong to a recognised tenants’ association. This is a recognised tenants' association under section 29 of the Landlord and Tenant Act 1985 (as amended).   However, in the initial consultation, if you have specific preferences for a particular contractor we will consider your recommendations, but it is our policy only to use contractors that are on our ‘approved list’.

When will I have to pay?

We will send you an invoice once the work has been completed and the accounts have been agreed.

How much time do I have to pay?

You must pay the invoice immediately.  However, we currently allow you to pay within 28 days of the date of the invoice.

What if I am not happy with the standard of work?

If you are not happy with the standard of work, you should tell either the clerk of works (if applicable) or the estate office as soon as possible.  They will sort out the problem while the contractor is on site.   At the end of the project, we will send you a satisfaction sheet.  You should fill in this form and return it to us as soon as possible.  This is because there is usually a short period where the contractor will return to the site to put right any problems.  We will look at any complaints you have at this stage and, if necessary, ask the contractor to return to put things right. Do not wait until you have received your invoice before you make a complaint.  It may be many weeks or months after the work has been completed before you receive an invoice and by that time there may be little we can do to resolve the complaint.

If you are still not happy with the standard of the work you can apply to a Leasehold Valuation Tribunal (LVT).  The LVT can decide whether the work is of a reasonable standard or not.

What does recognition under section 29 of the Landlord and Tenant Act 1985 (as amended) do for me?

Where there is a recognised tenants’ association, we must give the secretary details of the work and give the tenants’ association enough time to nominate a contractor (or contractors) to be invited to give a quote for the work. As explained above, however, we aim to include residents’ preferences, comments and suggestions in the first stages of the consultation process.

How is my service charge calculated?

Service charges are calculated in line with the method set out in your lease, using the rateable value of your home, block and estate.

We divide the rateable value of your flat by the total rateable value of your building.  We then multiply the result by the total annual cost of services and repairs to your block to get the charge for the flat.

The calculation is:

Property Rateable Value

------------------------------------------- X  cost  = cost for the property

Block Rateable Value 

Every March service charge account holders are sent estimated yearly charges for the new financial year.  The financial year runs from 1^st April to 31^st March.  The service charge account is debited on the first of every month.  The yearly charge for ground rent is added to the first debit in April of each year.  At the end of the financial year, the final accounts are prepared.  These accounts show the actual spend in the previous year and the service charge account is amended accordingly.    

How do I pay my service charges?

There are various ways you can pay your service charges.  Please refer to the ‘paying your rent’ section.   

What is a freehold?

A freehold refers to the owner of the land in which the property is built.  Generally freehold properties do not form part of a block but on Blenheim gardens estate this is not the case.

I am a freeholder, do I have to pay a service charge?

This will depend on the time you purchased your property.  On Blenheim Gardens Estate many properties have been sold 'freehold', but the owner is required to contribute to the up keep of the estate.  This however, is dependant on the time in which the property was purchased and is not applicable to all freehold properties on this estate.

What service can I expect?

Staff at BGRMO will provide all Residents with the exactly the same high standard of customer service regardless if they are a resident, leaseholder or freeholder.  Please refer to our ‘customer care charter'

What if I am not happy with a service?

We recognise that from time to time things do go wrong.  Leaseholders and Freeholders are encouraged to use our complaint's procedure.

If however, you wish not to use our procedure you may contact-

• United Resident's Housing on 020 8582 9469

• Lambeth's Complaint Unit on 020 7926 3497

• Lambeth's Home Ownership Services on 020 7926 6000

• Leasehold Advice Centre on 01483 889 922

• The Leasehold Advisory Service (LEASE) on 020 7374 5380.  (LEASE is an independent advisory body funded by Central Government.  It provides free advice on the law affecting residential leasehold properties).  

For further information please visit London Borough of Lambeth