Recovering £15,000 each from 91 Leaseholders to deliver overdue external redecoration works

Left: The block as pictured when J&B took over management.
Right: The block following £1.2m of external redecoration work, completed during J&B’s management.

Before approaching Jennings & Barrett in 2021, this South London estate – a 1930s residential block – had suffered considerable periods without the completion of major works.

In urgent need of some care and attention, Directors had managed to consult over the major external redecoration project and had selected their contractor. In order to confirm the contract and secure the cost at £1.2m, they needed to urgently raise sufficient funds. It was clear that their existing agent did not have the systems and processes in place to achieve this. Jennings & Barrett were recommended by the surveyor, instructed to take over the management and to collect these funds.

The Scope of Required Works

Years of neglect had caused significant internal damage with damp, mould and water ingress. Externally, the development required:

• Painting, brickwork, render repairs,
• Roof pipework insulation,
• Balcony waterproofing,
• Concrete repairs, as well as
• Repairs to the external staircases.

As a result, some leaseholders had struggled to sell their properties due to the scale of works required.

There had been numerous scope and budget changes, eroding leaseholder trust. Only five of the 96 Leaseholders had paid their initial demands. The residents were living in an unsafe, deteriorating building.

Before the works started: Pictures from the first Site Inspection for the development.

The development’s restored exterior following completion of the external redecoration works.

Regaining Resident Trust Through Proactive Communication

All Jennings & Barrett’s Block Management clients over the size of 10 units get a named Property Manager who becomes responsible for delivering the objectives of the Management Company. This development was assigned to Jade H., a Senior Property Manager who has been with J&B since 2016. Jade had extensive experience managing blocks with large issues that needed solving – a challenge she thoroughly enjoys.

From the outset, Jade’s management focused on rebuilding trust through a strategy of delivering consistent and transparent communication. This involved holding regular meetings with residents, shareholders, the contractor, and the surveyor, and providing detailed explanations of the revised scope, budget changes, and the programme timeline. These documents were made available to stakeholders via SharePoint, J&B’s Leaseholder Portal and through regular email correspondence.

Although J&B’s instruction to manage the development came after the Section 20 process had been restarted and contractors had been appointed, Jade took full ownership of the project management and delivery. With support from her Property Assistant – Jade L – the team’s diligence and proactivity ensured that emerging queries and concerns had swift responses.

The two Jade’s coordination with the on-site concierge helped residents feel at ease and supported, with the concierge playing a key on-site role to fill any gaps between resident objections and project progress, thereby easing tensions during disruptions.

 

Scaffolding scales the development as works take place.

Empathetic and Strategic Credit Control

Engaging J&B’s credit control staff, the Property Manager took a position of empathy and flexibility to manage arrears and raise the necessary funds. Credit control helped create payment plans and encouraged leaseholders to talk to their mortgage providers in order to ensure the financial viability of the works. All together, this resulted in: