Over the last 20 years, Fell Reynolds’ New Development Team has worked closely with both local and national house builders. We prefer to work closely with developers from the planning stage through to marketing and the setting up of the management structure, whether it be a management company or the freeholder choosing to retain the management services.
We have a wealth of experience to bring to each scheme, working closely with developers’ in-house surveying teams, their solicitors and consultants.
We can advise you on the setting up of the Management Company if you wish to handover the scheme to your purchasers, be they leasehold or freehold. In such cases, your purchasers become members or shareholders of the Management Company and take ownership of the management process, assisted by us once the scheme is complete.
Some clients choose to retain the management service and we can advise if this is the route you wish to follow.
Our New Development Team will prepare as many budgets as are needed to ensure your development is brought to the market with realistic cost expectations and service charge apportionments for each unit. We will work closely with your Legal Team to ensure the legal documentation creates both a manageable scheme and that it has the necessary apportionments of costs to include in the legal pack. We will meet regularly with your Sales Teams and will be on hand to answer any questions from your purchasers.
You will have a dedicated Property Manager who in turn is supported by an Assistant and Team Administrator. The Property Manager is responsible for the day to day running of their clients’ properties and will be the main contact with you. Each Property Manager is experienced in the management and placing of contracts, undertaking regular property inspections and will arrange the major works consultation process when required.
Our Management Teams operate a 24/7 out of hours service and are linked to our contractors database to ensure out of hours emergencies can be dealt with.
We have a detailed knowledge of communal heating systems, pumped water supplies, maintenance of play areas etc, which all require specialist knowledge and our New Development Team will take all these in their stride.
By working closely with our insurance brokers, Arthur J Gallagher, we can arrange your new development’s buildings insurance, be it for houses or flats, where your clients have an obligation to insure. By including your property on a block insurance policy with in excess of £500,000,000 on cover, substantial savings are often achieved helping reduce management costs thus making your scheme more competitive. In some cases, the savings in premium equate to a large part of our management fee. Although not financial advisers, we can provide a quotation to include your development on our block policy if you become a management client of the firm.
PUBLIC LIABILITY INSURANCE
Your development’s public liability insurance can be included within the block insurance where you have the obligation to insure both the buildings and communal areas of the building. Where properties are owned freehold and each owner is responsible to insure, there will still be an obligation for you to insure the public open spaces including gardens, play equipment, roads and pathways. We have arranged with our brokers to place new developments on a consolidated public liability insurance policy which offers substantial savings.
In addition to buildings insurance, you may need to insure plant and machinery e.g. lifts, electric gates, fountains, pumped water supplies, etc. Our engineering policy provides for both regular inspections by independent assessors and cover in respect of the use of equipment.
DIRECTOR’S & OFFICER’S INSURANCE
An often overlooked area of insurance, many of our developer clients are also the directors of small management companies until handover who nevertheless have an obligation to comply with the Lease and the same legislation as ourselves. We have therefore asked our insurance brokers to arrange competitive cover to protect the directors in respect of personal claims against them or the company.
No two Management Agreements are the same because the service is tailored to each property. We do however have a template Management Agreement which we can send to you clearly setting out our fees and what is expected from us and from you. Many of our developer clients have their own Management Agreements which are tailored to the services we provide, which is equally acceptable.
We manage residential property in accordance with the Residential Service Charge Management Code Version 3 which became law on 1st June 2016.
Fell Reynolds do not accept commission from contractors or insurers and are thus able to offer completely impartial advice, having your best interests at heart.
Fell Reynolds are members of the following bodies and are subject to regulatory review to ensure compliance:
As a member firm of the Royal Institute of Chartered Surveyors, both the practice and RICS qualified staff are subject to regulatory review and training http://www.rics.org/uk/
(II) ARMA Q
As members of the Association of Managing Agents, we are bound to accept the ARMA Q Consumer Charter, which sets out a basis for regulation and the standards which can be expected of an ARMA member http://arma.org.uk/http://arma.org.uk/leasehold-library/document/arma-q-standards-and-consumer-charter/page/1
(III) INSURANCE CLAIMS HANDLING REGULATION
Fell Reynolds are regulated under the RICS Professional Body Scheme and thus compliant with the FCA requirements for dealing with insurance mediation.
(IV) WE MANAGE RESIDENTIAL PROPERTY IN ACCORDANCE WITH THE RESIDENTIAL SERVICE CHARGE MANAGEMENT CODE VERSION 3 WHICH BECAME LAW ON 1ST JUNE 2016.
If you have the obligation to or choose to employ a caretaker/cleaner, we can provide the following services:
- Conduct interviews and/or shortlist candidates with our clients and take up references.
- Set up or transfer an employee under TUPE etc.
- If there is a change of employer or agent, we will administer your employee’s payroll in-house using specialist software which links directly with HMRC.
- We will issue clear statements of the payroll management, overtime and expenses incurred.
Although the 2006 Companies Act dispensed with the need for a private limited company to appoint a Company Secretary unless the Memorandum & Articles of the Company requires it, most directors of management companies still choose to instruct us to undertake this function. Our Company Secretarial Team will handle:
- Maintenance of the Share and Members Register.
- Filing of Annual Accounts.
- Filing of the Company’s Annual Returns.
- Arrange and attend General Meetings of the Company.
- Transfer of Shares or Membership Certificates on re-sale.
We have secure Internet links with the Companies House database to ensure information about your company is kept up to date.
Fell Reynolds have a dedicated Accounts Team who specialise in service charge management. Once the budget has been agreed, they will take over the accounting process and the demands in accordance with the relevant legislation.
COLLECTION OF GROUND RENT
If you collect ground rent or rent charges from your leaseholders or freeholders, we will serve the necessary ground rent notices and account to you on a regular basis. We will provide regular arrears reports and recommend the appropriate course of action to you in order to collect any outstanding sums.
ACCOUNTING FOR SERVICE CHARGES
The law surrounding the demanding and accounting for service charge monies is somewhat complex. Once the budget is approved, we will issue the necessary demands, together with the rights under the Commonhold & Leasehold Reform Act 2002 if it is a leasehold property.
Fell Reynolds manage properties in England and Wales and are therefore familiar with the additional requirements imposed by the Welsh Regulations.
We will provide regular expenditure reports showing expenditure against budget, arrears reports and cash balances at dates of your choosing.
YEAR END ACCOUNTS
At the end of the year, our Accounts Team will provide you and your contributors with a set of accounts, which will be certified by an independent Chartered Accountant. If required, we will also supply a bound set of invoices for your information.
In the unlikely event that one of your contributors fails to either pay their ground rent or service charge, we will issue the necessary letters before action and instruct a specialist debt collection agency to act on your behalf. We are experienced at giving evidence in Court and representing our clients at the First Tier Tribunal, although additional charges will apply depending on the nature of the case.
A Property Manager from our New Development Team will meet with you to assess your requirements.
We will tailor our service to suit your needs and quote a fee depending on the services, number of inspections and the number of meetings which are required.
Our fees are usually based on a fee per unit per annum in accordance with ARMA recommendations.