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ARTICLE · 09 JULY 2017

Residential Service Charge Consultation – Developers Beware!

RWK Goodman
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It is relatively widely known that landlords of residential blocks must consult their tenants before they can recover (in full) certain items through the service charge regime.

United KingdomReal Estate and Construction
James Daglish
James Daglish

It is relatively widely known that landlords of residential blocks must consult their tenants before they can recover (in full) certain items through the service charge regime. For example, if they wish to carry out a substantial redecoration of the exterior of the block.

But that's once the leases are in place, right?

Unfortunately it's not that simple! Those consultation obligations can, in principle, bite after contracts have been exchanged, but before any leases have been granted. In other words before there is, in the everyday sense, a landlord and a tenant. And that can also be the case even if the building is still being built; so, for example, in the case of 'off plan' sales.

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