Labour pledges to end ‘feudal’ leasehold system with commonhold overhaul
1 year ago | 6 comments
Block managing agents and quotes for repairs?
12:01 AM, 11th March 2025, 1 year ago
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Hello, I have a block of flats currently managed by Block Managing Agents. Recently there was a leak in the building where damage was caused to a number of flats.
The managing agents said that they had quotes in from two contractors but refused to disclose the quotes to the flat owners stating that it was unethical to disclose the quotes until all quotes had been received.
The reason given was that it would be unfair for contractors to see each others quotes.
It now transpires that the owner of the block management company also owns a building company that provided one of the quotes.
To me, this makes a mockery of the agents ‘ethical’ argument.
Am I correct in thinking this and does this go against the regulations set out by the FSA?
Thank you,
K
Tags:
block management company issues, block management transparency, fixing water leak, FSA, water leak
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Member Since January 2015 - Comments: 1431 - Articles: 1
10:26 AM, 11th March 2025, About 1 year ago
As long as transparent cannot see a problem.
How many quotes have been requested? See your s20 notice for number required. Then ask when is the final quote due in (should be a tender cut off date).
Member Since April 2021 - Comments: 94
10:41 AM, 11th March 2025, About 1 year ago
It’s a tad unethical to the other contractors who have submitted quotations unwittingly to the managing agent who (to all intents and purposes) is bidding themselves for the same works. The flat owners are only interested in best value, as are you.
More widely, if your agent is giving you cause to get more involved than you would like then get rid. If they’re providing a service you’re and flat owners are satisfied with then let them get on with the works.
Member Since January 2016 - Comments: 73
11:21 AM, 11th March 2025, About 1 year ago
As both a building surveyor and a block managing agent, all estimates should have a common return date and time and be opened at that time – the work should also be priced against a common specification. One thing we have found in the past is if a leaseholder requests sight of estimates before the closing date or they start asking for prices from their mates it always leads to problems – specification not followed or estimates past around, to prepare an estimate properly prepared takes quite a lot of work and if contractors constantly loose out to companies who have undercut or put incorrect prices forward you will suddenly find no contractors who are prepared to quote for work. That said it is a little unusual to be both poacher and game keeper, although once again if everything is open and shown to be so then there should not be any form of issue – indeed you could argue that the agent and his building company has a vested interest in getting the best deal for the owners of the flats. If correctly following the section 20 process the leaseholders will always have the final say and that could involve going out to tender again.