An increasing number of developments are ridding themselves of Peverel/Firstport as their managing agents.
There are three basic ways of doing this.
By far the best (but rarely done) is to purchase the freehold. whilst initially a more expensive way of doing it, leaseholders become freeholders and have the right to control their developments. This means they themselves appoint managing agents without any need to go through a freeholder with vested interests that work against leaseholders.
In the case of Charter Quay the freehold was purchased for around 28% of the value the freeholding companies had put on it.
It should not be forgotten that owning the freehold adds substantial value to the property.
The next option is Right To Manage . Because a RTM will mean a loss of income for the freeholders(just imagine the savings on insurance commissions alone)
So, even a RTM that is served in a proper manner will be challenged. The freeholder has nothing to lose. This will add to the costs of a RTM as it will have to go before a tribunal. Even if it costs 20,000 pounds (which is a lot of money) a development will normally recoup that money within 18 months of a new managing agent taking over.
Think of the savings that can be made by only having work done that is needed or elective, rather than based on generating income for a financially stricken managing agent?
The third option appears easier and cheaper, but should be avoided at all costs.
This is an option suggested on behalf of the freeholder that they are prepared to change away from Peverel/Firstport, provided you agree to their choice of management company.
This generally means appointing Freemont Property Managers or Rendell & Rittner.
Freemont Property Managers are run by the crooks that originally ran Peverel, whilst Rendell & Rittner are expanding rapidly and targetting vulnerable Peverel/Firstport developments. Indeed it should be noted that they have recently taken on a very senior Peverel/Firstport member of staff, Jonathan Astle, who was a key part of the legendary Peverel/Firstport scams.
Given their record (please see Parliamentary Early Day Motion 342) who could possibly trust anything E&M say?
Ideally, a small local company run by people you have had dealings with in the past is the way to go when appointing a managing agent.
Whatever the obstacles that are put in your way, hold firm.
Residents are being cheated out of their hard earned money on a daily basis.
Yet it is the residents that can put a stop to it. Go for it!
