This course covers both commercial and residential service charges as well as reserve and sinking funds. The interpretation of service charge clauses in different types of leases, the relevance and application of codes of practice, the statutory regime for residential service charges and best practice are all explained - in comprehensive detail.
Delegates are provided with a detailed, comprehensive 270 page handbook that they can take home.
Course Content:
- The aims of landlords and tenants; the inherent conflicts
- Different types of service charge
- Management costs
- Budgets, auditing and certificates
- The concept of 'reasonableness'
- Commonhold and Leasehold Reform Act 2002 and the attendant Regulations
- Potential legislative changes
- Common shortcomings in leases
- Drafting suitable lease provisions
- Liability of assignors and assignees when leases change hands
- Apportioning the costs of unevenly shared services
- Solving the most common problems
- Benchmarking and tenant satisfaction
- RICS Commercial Service Charge Code
- RICS Residential Service Charge Code
- Mixed use buildings
- Handling sinking funds
- Cost implications versus lease terms
- Green issues
A course designed for property managers, residents' companies and lawyers responsible for drafting and negotiating leases.
Learning Objectives
By the end of the course you will be able to:
- Understand and manage service charges and sinking funds
- Appreciate the implications of legislation and codes of practice