Freehold Managers Unreasonable Fees for Subletting Consent

Freehold Managers Unreasonable Fees for Subletting Consent

10:09 AM, 2nd December 2013, About 10 years ago 89

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Hello everyone, especially the legal people amongst you.

I am in DESPERATE need of legal advice!

I am sure this has been discussed in one form or another before but I would like to make it very personal and specific to me if that is OK.

I have been in a virtual argument with my landlord for quite some time now. Freehold Managers Unreasonable Fees for Subletting Consent

I own an apartment which I let out (sub-let effectively) and MY landlord is insisting on money for :-

Subletting registration – £78

Sub letting consent – £48 (I think that’s the cost)

The registration is expected each and every time a new tenant moves in!

My argument is that this is totally unreasonable, unfair and extortionate!

Then they are trying to charge me £78 each and every time they send a letter. Now surely this is extortionate for something that cost pence to produce and a couple of pounds to administer.

Be damned if I know why I have both these company names on the letter heads / invoices.

I think there is a huge principal at point here and more so because of their bully tactics and lack of customer service.
In addition to this It seems that there is no legal way to challenge anything they choose to charge and that just cannot be right or fair!

PLEASE can someone help?

By the way I did go down the route of quoting a certain case where the judge stated that a fair and reasonable cost would be x,y,z. They chose to ignore that.

Time is short and costs are spiraling – please can we do something about these faceless, remorseless morons!? It literally makes me sick to my stomach.

Thanks

John Sweet


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Comments

Yvette Newbury

23:31 PM, 26th September 2014, About 10 years ago

When we wrote and corrected their inaccurate reading of our lease they accepted the small cheque we had sent for our new tenancy (as described above) and that was it. We were therefore not in a position where the amount owing was in dispute, it just wasn't owed at all! This is quite different to your situation.

James Feehily

20:23 PM, 26th November 2014, About 9 years ago

Hello

There are at it again. A £25 increase in Ground Rent as per my Lease. I asked for a copy of the excerpt of the Lease. For that, it is £144.

Simarc now represent Wallace Est at this address. I was wondering should I write to Wallace Est outlining Simarc conduct to date.

Mike

Robert M

20:47 PM, 26th November 2014, About 9 years ago

Reply to the comment left by "Mike Keeley" at "26/11/2014 - 20:23":

Freehold Managers have just done the same to me, doubled the quarterly ground rent, and say they are allowed to do it because it's in my lease, but of course they give no details of where in the lease or provide proof of it, so I now have to dig out my lease and go through dozens of pages with a fine toothcomb to try to find any clause that justifies the increase.

John Frith

16:25 PM, 27th November 2014, About 9 years ago

Reply to the comment left by "Annette Stone" at "02/12/2013 - 14:49":

Would you mind pointing me towards the legislation that bars an RTM from charging a license or fee for subletting? I have just joined a RTM board that does charge, so I would like to be sure of my ground before challenging them!

Maria M.

17:09 PM, 14th May 2015, About 9 years ago

I have been renting my flat for 18years without any need for a deed of covenant. I with other owners have a share of the Freehold of the building.
All of a sudden company directors(owners who have put themselves forward as directors) are asking for a £150.00 +VAT for deed of covenant for each new tenant.

Firstly this is a huge amount of money for a few pages of paper.
Secondly, they want my tenant to sign the deed of the covenant and not me the owner.
Third thing is that no one ever asked for a deed of covenant before, although I have been told that this is in my deeds.
Also the contents of the deed of the proposed deed of covenant seems to be relevant to both myself and my tenant,
Can they ask for so much money after such a long time, and ask my tenant to sign it?
I am totally confused and stressed out by this. The building manager is now bullying me and telling me that if I do not sign their deed of covenant, they will take me to court, I will loose my flat and I have to pay all their costs or I can pay £900.00+VAT to their solicitor to do a separate deed of covenant for me.
I appreciate any help and advice, as I have no idea how to go about this. Also my tenant has been there for a while and might not want to sign the deed of covenant in the middle of their tenancy, Thanks.

Maria M.

17:13 PM, 14th May 2015, About 9 years ago

I have been renting my flat for 18years without any need for a deed of covenant. I with other owners have a share of the Freehold of the building.
All of a sudden company directors(owners who have put themselves forward as directors) are asking for a £150.00 +VAT for deed of covenant for each new tenant.

Firstly this is a huge amount of money for a few pages of paper.
Secondly, they want my tenant to sign the deed of the covenant and not me the owner.
Third thing is that no one ever asked for a deed of covenant before, although I have been told that this is in my deeds.
Also the contents of the proposed deed of covenant seems to be relevant to both myself and my tenant,
Can they ask for so much money after such a long time, and ask my tenant to sign it?
I am totally confused and stressed out by this. The building manager is now bullying me and telling me that if I do not sign their deed of covenant, they will take me to court, I will loose my flat and I have to pay all their costs or I can pay £900.00+VAT to their solicitor to do a separate deed of covenant for me.
I appreciate any help and advice, as I have no idea how to go about this. Also my tenant has been there for a while and might not want to sign the deed of covenant in the middle of their tenancy, Thanks.

Fed Up Landlord

22:47 PM, 14th May 2015, About 9 years ago

I am sure Mark Alexander has covered this in previous posts and threads. Its an administration charge and if I am not mistaken has to be accompanied by a Notice of Rights and Responsibiliites in the prescribed format (check out the Leasehold Advice Service) and in the correct font (no less than 10 font) Check the lease first to see if it can be charged. If it aint in the lease it can't be charged. Then if they can check the validity against the Commonhold and Leasehold Reform Act 2002 as above in terms of prescribed format and font. If they don't comply with both then write and tell them so and say your off to First Tier Tribunal for £65 for a determination. Simarc tried something similar on me recently for an "unpaid" ground rent that they sent to the wrong address for £197. With "administration charges" it was £600. I told them I was off to Tribunal as they didnt comply. They accepted my £197 as a "gesture of goodwill"....yeah right......

andy watters

17:50 PM, 15th May 2015, About 9 years ago

I have just received a letter from E&J Estates for the demand for payment of sublet consent payments.

Payments consist of:-
Retrospective Consent Fee £120.00
Notice Registration £90.00
Total £210.00

Additionally there will be annual fees of the following:-

Renewal Consent £42.00
Notice Registration £90.00
TOTAL £132.00

I have seen much discussions and also Land Tribunal documents stating that £40+VAT is a reasonable fee to pay.
I suppose it makes no difference by the fact of my having only a buy to let mortgage and therefore not actually subletting as I am not able to be the tenant myself.

They are going to make a packet, as the whole block of a few hundred apartments are all let out - its that kind of building.

Should I pay or not?The lease does state that permission should be granted but it is just what is deemed to be a reasonable fee.

Maria M.

10:14 AM, 17th May 2015, About 9 years ago

I have looked at a copy of my deeds and yes it does estate that I should have a Deed of Covenant, if I rented the flat.

1-They have been aware that I have been renting this flat for the last 18 years. They
never asked for any Deed of Covenant or any money before. Does this not set
a precedent ?

2- Also my tenant is half way through their tenancy and might not want to sign the
Deed of Covenant, which is another contract in the middle of their tenancy. Is
this legally correct?

3- More importantly some of their terms is contradictory with my Tenancy
Agreement. Can they do this?

Also I am 'A' share holder in the Freehold. There are total of 100 flats and 80 of us are 'A' Share holders. I am not sure if that makes any difference?

I think they have now cottoned on to making a lot of easy money, as now almost all the flats are rented.

Any help or advice would be most appreciated.

Mark Lynham

10:20 AM, 29th May 2015, About 9 years ago

Reply to the comment left by "Mark Alexander" at "02/12/2013 - 10:17":

Mark, i know this thread is a bit old but does your advice still stand? one of my landlords is being asked to pay £210 for a 'standard license' and then £120 for subsequent tenants... this doesnt sound 'reasonable' for basically a small amount of admin.

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