Major Works – Section 20
What is a Section 20 consultation process for major works?
Section 20 of the Landlord & Tenant Act 1985 (as amended by the Commonhold & Leasehold Reform Act 2002) requires any Residents’ Management Company (RMC), Right to Manage Company (RTM) and Landlord/Freeholder to follow a 3 stage consultation process when they intend on carrying out justifiable works to your building where the contribution from any one lessee exceeds £250, or a qualifying long-term agreement where the contribution from any one lessee exceeds £100 in one financial year.
The 3 stage process takes a minimum of 3 months to follow and requires the following Notices to be issued on the lessees, which the lessees are invited to make comments and observations on.
- Notice of Intention – A notice must be served setting out what works are proposed and why they need doing.
- Notice of Estimates – Once estimates have been received for the works, a notice must be served on all lessees detailing the costs including associated fees, plus details of how they can be observed.
- Notice of Reasons – The landlord must serve notice informing the lessees which estimate they have accepted and awarded the contract to, and the reasons for doing so.
Should your Landlord not follow the procedure correctly then the Landlord could be challenged at tribunal and is potentially subject to a penalty, being the maximum a lessee can be made to pay will be limited to either £250 or £100 depending on the agreement of works, regardless of the final bill.
At Sweetings Property Management following Section 20 procedures is second nature to us given the number we have issued and successfully completed over the years. We have vast knowledge and experience of carrying out major works that includes drawing up specifications to put out to tender for such works as re-roofing mansion blocks, installing emergency lighting and paneled fire alarm systems, internal/external decorating etc.
For further information about how we can help feel free to contact us.