How many units do you manage, in how many blocks?
Of course the figure can change, but currently we manage in the region of 4,500 units in approximately 200 blocks
Is there a certain type of block that you manage?
We manage a wide variety of blocks of all types and sizes, but we normally stay away from blocks with less than ten units. On the other end of the scale, our largest site to date is a block housing 420 units.
How can we be assured of the service you offer?
We hope our reputation within the industry and excellent online reviews will encourage you to talk to us. From there we can offer you a 6-month warranty with a zero-notice contract. We appreciate that moving to a different management agent can be a concern, but our experienced team understand the pitfalls and know how to ensure the transition is as smooth as possible.
What is your annual charge for block management?
This really does depend on the type of management resource you need, as well as the size of the block, but to give you a rough guide: for blocks of 20 units of more, our standard rate is £250, and for less than 20 units, it’s £350.
Are you VAT registered?
Yes, all our fees are not inclusive of VAT.
How will you ensure that the budget is controlled and expenses monitored?
We’ve invested in technology to ensure the systems we use work in conjunction with our block managers, who also undertake their own thorough due diligence. We can easily monitor your budget against your actual expenditure as well as providing you with a monthly reconciliation.
Will you supply me with regular financial updates?
All your directors as well as yourself will receive financial reports either half yearly or quarterly. We can also provide blocks of more than 20 units with a monthly cash sheet for expenditure.
Are reserve funds kept separate?
Yes, we keep your service charge account and your reserve funds separate. Subject to the Section 20 procedure, we only use your reserve funds for large-scale work and projects.
How is our money protected?
Your money is held in a trust account so it is protected and completely separate to Frederick George. Therefore, should we ever go into liquidation we have done all we can to ensure your money won’t be affected.
Does that mean we have our own bank account?
How it works is that you have a digitally separate account, rather than your own bank account. We can still produce a transaction list specific to your account, which we include in your Directors’ Report. The system is accredited by RICS and chosen because it is 100% transparent and secure.
This also means that your money cannot be used by another block’s account, as it is segregated.
Can you explain how the cash flow is managed?
Cash flow is managed by the block managers; yet, should anything take you to a level above that which has been predicted, it will not be authorised. We ask directors to set a threshold for expenditure over which they want to be informed, this is normally around £250-£300. If there is any unplanned expenditure this comes out of your general repairs fund, which we base on the expenditure of previous years. However, a cash buffer is always recommended.
What is your policy for unpaid service charges?
We have put together a rigorous process to handle credit control. Following a service charge demand we give leaseholders 30 days to respond, after which we try and contact them to receive payment or set up a payment plan. Should this process also fail then we issue a series of reminder letters.
Reminder letters
1. Sent when the charge has become due.
2. If no response, reminder letter 2 is sent 14 days later.
3. If again, there is no response to letter 2, reminder letter 3 is sent giving them an additional 7 days to pay.
After this process has been followed, the file is passed over to our legal partners who will proceed with further action. Any costs incurred at this stage will not be taken from the block account but added to the leaseholders’ individual debt.
We expect a quick response, can you deliver?
Effective communication is the cornerstone of the way we operate, which is why our team structure enables our block managers to be client-facing and well-supported by other roles. We guarantee you will receive a response within 24 hours, although our norm is less than this.
How many block inspections do you undertake a year?
It all depends on the number of units per block. Our block manager will produce an inspection report after each visit, which tends to be on a quarterly basis for blocks with less than 100 units, and 12 times a year for blocks with 100 units or more.
Will I be speaking to the same block manager?
We can understand your concern, as in the block management sector staff retention can be problematic. We have been in the industry a long time and invest in our team so we know they are passionate and committed. Our block managers are very well supported so they can focus on the important tasks and not get overloaded.
Do you provide an out-of-hours service for emergencies?
We are unable to offer this facility in-house, but we can through a manned third party provider. There is a cost to this service of £25+VAT per unit, which is paid annually.
Should we wish for you to act as our managing agent, how much notice do you need?
The smooth transition of handover is our priority, but often we are depending on the quality of information given. Typically, the process takes between 1 – 3 months, during which time we do as much preparation as possible so that we can commence without interruption from day one.
You can retain the services of existing contractors, should you wish. We take time to qualify any of the contractors we use to ensure a high standard of work and reliability. This includes checking references, examples of recent work, and appropriate qualifications, and obtaining proof of the necessary licences.
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