FAQs

Please see some of the common questions asked by prospective and existing clients below. If you have a more specific question, feel free to get in touch.

General

A managing agent, also known as a block or estate manager looks after the common areas (e.g. halls, roof, driveway and grounds) of a property to protect the interests of the leaseholders. The agent is typically appointed by the board of the residential management company to act on behalf of the leaseholders, in accordance with the lease. Normal responsibilities range from making sure the building is adequately insured to performing company secretary duties (e.g. holding AGM’s) and managing maintenance contracts (e.g. cleaning). Ultimately, the managing agent acts under the authority of the board of directors who themselves are appointed by the leaseholders.

Before employing a new agent, ask them to list all the services they offer and differentiate between those services which are included in their management fee versus those which have an additional fee. Many agents offer a low starting management fee to win the work, but this rises significantly when additional services are factored in. Going through this process, will also make it easier for you to compare with other agents, quoting for the work on a like for like basis. Next, list out all the services you require during the year and make sure the agent has factored these into your agreement. These services should then be reviewed at the end of year to ensure you are always getting what you have paid for.

This is dependent on how your development is currently managed.  If you are self-managing you can sign up immediately and if you have an existing block manager, you need to give notice, which usually takes 1-3 months depending on your contract. Once you have a quote and the board have all agreed on a new managing agent, the new agent co-ordinates the handover in which all the information for your development is collated and this can be completed in as little as two weeks. For leaseholders who need to first make a Right to Manage process, this is detailed in in the company secretary section of the FAQs.

Depending on the nature of the query, this can be through the annual general meeting, the easy-to-use online portal available on mobile and desktop, the 247-emergency line, your residential management company director point of contact or your dedicated property manager.  Typically, for non-emergency phone calls, if we are in a meeting and unable to answer at the time of the call, we’ll ring back on the same working day, and for emails and online portal messages we will respond on the same or next working day.  

Company Secretary

A Residents Management Company (RMC) is a non-profit making company, empowering leaseholders on the management of their property. The company needs to comply with its Memorandum; Articles of Association; and the Companies Act 2006. The RMC is run by a board (usually consisting of two to five directors) to approve the RMC’s company accounts, attend general meetings, approve the service charge budget and agree on any funding plans. Traditionally the directors of the RMC are leaseholders, and the position is voluntary and unpaid. Ordinarily it is not possible to remove existing directors unless stated in the lease and new directors can be appointed by election.

As a shareholder, you are part-owner of the Residents’ Management Company (RMC) and may participate in decision-making, though it’s optional. You can challenge the board under the Companies Act 2006 if it exceeds its powers. Your financial liability is typically limited to a nominal amount, such as £1. As a leaseholder, you own a property with a lease and your rights and obligations are defined by your lease. You must adhere to its covenants, including paying service charges, or face legal action or a tribunal. If the RMC breaches its obligations, you can challenge them in court.

This is the annual meeting between the RMC leaseholders and shareholders, with either a physical, online or hybrid setting. The agenda usually includes approving minutes, presenting accounts, approving the budget, voting on director re-appointments, and discussing building or leaseholder issues. While AGMs are no longer legally required under the Companies Act unless specified in the articles of association, they remain best practice. Shareholders unable to attend can appoint proxies to vote for them, provided a form has been completed.

‍The Right to Manage process lets leaseholders take control of their building or estate management by setting up a resident management company (RMC). It usually involves transferring control from the freeholder or an existing RMC, allowing leaseholders to choose their managing agent, set budgets, and approve maintenance. The process begins by confirming eligibility (most buildings qualify) and gaining support from at least 50% of leaseholders. Then, an RTM company is registered at Companies House, and remaining leaseholders can join before a claim notice is served to the freeholder, who has limited grounds to dispute. If done correctly, leaseholders gain control after a three-month handover.

Financial Management

This is the total estimated annual running costs for the communal aspects of a property, typically including insurance, utilities, repairs and maintenance, accounting, reserve and sinking fund contributions and the management fee. The service charge is calculated by reviewing previous costs versus planned and the budget for the year is normally agreed in advance between leaseholders at an AGM. It is then apportioned and invoiced to shareholders, in accordance with the lease. At year end, an account of actual expenditure versus budget is distributed and any balancing figures are refunded to the leaseholders or saved in the property’s reserve fund for future use.

A reserve or sinking fund is savings built up over time from leaseholder contributions to pay for major future works, like roof replacements or structural repairs. A sinking fund is typically for planned, known expenses based on a maintenance schedule, while a reserve fund is more general-purpose, used for unexpected or irregular major costs. Both must be permitted by the lease, held in a separate trust account, and are usually collected as part of the service charge. Having a well-managed reserve or sinking fund is attractive to potential apartment and house buyers and can enhance value.

A typical apartment block or housing estate primarily needs buildings insurance, which covers the structure against risks like fire, flood or subsidence.  The second most common is property owners’ liability insurance, which protects against claims if someone is injured or their property is damaged in communal areas due to negligence. There are additional policies such as directors’ insurance, engineering inspection insurance and employers’ liability insurance, but these are to meet more specific requirements.

All service charge money is held in a separate, ring-fenced client account for each block, with a UK bank authorised by the Financial Conduct Authority (FCA) and covered by the Financial Services Compensation Scheme (FSCS). Under Section 42 of the Landlord and Tenant Act 1987, we obtain written confirmation from the bank that the account holds only client money, cannot be offset against debts, and that any interest earned is credited back to the account. All our client management accounts (including bank balance) are independently renewed by a third-party accountant each year to ensure compliance and transparency.

Lease Compliance

We monitor lease compliance through regular site visits and feedback from residents. Disputes and breaches are handled through clear communication, written correspondence, and careful review of the lease, which usually outlines the appropriate remedies. Our first approach is always to resolve issues informally—whether related to noise, service charges, or neighbour concerns. Where informal resolution is not possible, we may escalate the matter to the freeholder, a tribunal, or mediation. It’s also important to note that in cases of subletting, the leaseholder remains responsible for ensuring compliance with the lease terms.

Changing the terms of a lease is rarely straightforward and generally requires agreement from the freeholder, all affected leaseholders, and sometimes the mortgage lender. This is usually done through a deed of variation, which must be drafted and executed by a solicitor, often in coordination with the managing agent. In some cases, a deed of variation can apply to a single leaseholder, but this is only possible if the change does not impact the rights or obligations of others within the building or estate. Legal advice is strongly recommended before pursuing any lease changes.

Communal is typically defined as the structure, external walls, windows, and gutters of the building, shared hallways, stairways, driveways, access paths and shared gardens. The individual leaseholder is normally responsible for everything within the four walls of their apartment including the floorboards, plaster to the walls and ceiling, all of which are not classed as communal. There is variation between properties and the exact definition of what constitutes communal versus individual owner areas should be defined in the lease.

This is a set of documents in response to a solicitor’s request when a leasehold property is being sold. It provides key information about the building and lease, including service charges, ground rent, building insurance, planned major works, breaches of lease, and any outstanding payments. The LP1 is a standard form used across England and Wales to support leasehold sales and ensure the buyer’s solicitor has all the details needed to proceed with the purchase confidently. Typically, the managing agent provides these documents for the individual sellers and as an additional service.

Minor Repairs and Maintenance

We follow a comprehensive due diligence process for every contractor, updating their information annually to ensure full protection for our clients. This typically includes obtaining a completed general compliance form, verifying that the contractor has adequate insurance cover, and reviewing their risk assessment method statement to ensure safe working practices. As a final step, we also check the HSE enforcement register to identify any historical safety issues. In addition, we assess pricing and quality to ensure that clients receive the best value.

For any construction-related repairs or maintenance, we typically carry out a competitive tender process on behalf of the client. Leaseholder-nominated contractors can be included in this process. For new clients wishing to continue using existing contractors for routine services such as gardening or cleaning, this is completely acceptable and encouraged. In such cases, we conduct our standard due diligence to ensure that those contractors meet our compliance standards before making a recommendation. 

These schedules vary depending on factors such as the condition of the building, surrounding environment (urban or rural), nearby trees, and climate. However, as a general rule, we recommend cleaning exterior windows every three to six months. Gutters should be cleaned twice a year, ideally in spring and autumn. Drains typically require cleaning every one to three years.

Major Building Works

Major works are defined as any works where the cost to a single leaseholder exceeds £250. In such cases, a Section 20 consultation process is legally required under the Landlord and Tenant Act 1985. Without this, individual leaseholders are entitled to refuse any payment above £250. Rowan manages this process on behalf of our clients, which includes notifying leaseholders of the proposed works, allowing time for feedback and contractor nominations, collecting and summarising quotes, and awarding the contract. If the selected contractor is not the lowest bidder, we ensure that the reasons behind their selection are clearly explained.

To determine what refurbishment or maintenance work is required, Rowan starts with a thorough building condition survey. This helps identify both structural and general maintenance issues and provides recommendations for addressing them. Based on the survey findings, we develop an itemised, time phased and budgeted plan. This plan prioritises works by urgency and groups them where possible to minimise overall costs and disruption. As a rule of thumb, properties usually undergo cyclical refurbishment works to the shared external areas every 7-15 year, depending on factors such as the terms of the lease, fabric of the building and outdoor environment.

Before any major works begin, we produce a detailed specification document outlining the required scope of work. This is sent out to multiple vetted contractors to obtain competitive pricing. Throughout the project, Rowan provides full contract administration, which includes defining payment terms, overseeing the contractor’s performance, managing timelines and quality, and monitoring costs. Payments are only authorised once we have confirmed that the work has been completed to the required standard.

Rowan offers the role of Principal Designer under the Construction (Design and Management) Regulations 2015. This means we take responsibility for ensuring the project complies with both CDM regulations and the Health and Safety at Work etc. Act 1974. This provides a clear legal framework to manage safety, risk, and accountability throughout the duration of the works.

Health & Safety

Buildings with any internal communal areas must meet the Fire Safety Order 2005 and a written Fire Risk Assessment by a competent person is a legal requirement. Further information can be found here: Fire safety: guidance for those with legal duties – GOV.UK Additional duties apply under the Fire Safety (England) Regulations 2022 and Section 156 of the Building Safety Act 2022. If you rent out your property you should be aware of your duties as a Landlord and holiday lets fall under The Regulatory Reform (Fire Safety) Order 2005.For broader safety issues like asbestos or legionella, the Health and Safety Executive (HSE) provides guidance and training resources.

This is the cornerstone of fire safety legislation in England and Wales and applies to all workplaces and the common parts of buildings containing 2 or more domestic premises.  It places legal duties on those who own or control premises (‘the responsible person’) to ensure a fire risk assessment is completed, recorded and actioned whilst maintaining general fire safety precautions. Find out if you’re a Responsible Person under the Fire Safety Order and what responsibilities you may have: People with duties under fire safety laws.

We employ individuals with extensive qualifications and experience, who are members of health and safety bodies, requiring them to keep up with continuous professional development, including industry updates on any changing legislation. Rowan is also a company member of The Property Institute (TPI), which provides essential technical knowledge, industry and legislative guidance, updates, training, and qualifications. We make full use of these resources—especially for our property managers, all of whom are fully qualified TPI members.

The Building Safety Act 2022 was introduced to improve the safety of apartment blocks, particularly those over 11 metres, at least 7 stories high or with known fire risks.  It places legal duties on building owners and managing agents to proactively manage safety and keep residents informed. For leaseholders, the Act offers important protections: you cannot be charged for the cost of removing unsafe cladding, and non-cladding safety costs are capped in most cases. It also ensures more transparency in service charges and gives leaseholders a greater voice in decisions about building safety and how risks are managed.