The BBC Radio 4 Money Box program 8th Feb explored Right to Managage for residential retirement developments.
They highlighted two developments, one in Cowes, Isle of Wight and the other in Romilly, Cheshire.
Both developments carried out a Right to Manage away from Firstport.
Residents from both developments expressed their satisfaction and relief from no longer being managed by Firstport.
They felt more in control of their developments and they pointed out that their management fees had fallen dramatically.
In their defence of the high fees in Cowes (presumably Firstport saw them as "cash cowes") Firstport argued that it was a complex development and that it was located close to the coast"
The argument put forward by Firstport for the development in Romilly was that some managing agents charge a low management fee to obtain the management contract, then could charge extraat a later date.
For the record this is exactly how Firstport obtain new development contracts. Either that or they buy out a management company to obtain the contracts.
Previously it has been suggested that 80-85% of their management contracts came from appointments from connected companies who owned the freeholds.
Sue Earnshaw from Select Retirement Services now manages the development in Romilly referred to as one development of many they have taken from Firstport.
Sue was featured in the Money Box feature and equited herself very well and explained how it was not that difficult to save residents a considerable amount of money in management fees and service charges as wll as the benefits of using a local managing agent as well as local contractors.
