When Fairfield Rents Ltd took receivership of the Severn View leasehold development in South Wales, they discovered it in a state of disrepair and in breach of health and safety regulations, following years of neglect. This meant Fairfield Rents could neither let nor sell the properties within the development. They knew they had to address the problem fast in order to recoup the defaulted debt and avoid the potential impact of falling foul of legal regulations.
Fairfield Rents Ltd decided to contact Andrews because Alder King Chartered Surveyors, another Andrews client, recommended James Tarr, Head of Andrews Leasehold Management, as a “safe pair of hands”.
The keystone to Andrews is its full service offering. This enables it to utilise the services within the organisation to improve cost effectiveness, speed of service and accountability. In this instance, James could offer the client not only management of the development but also the process of letting out the property, through sister company Andrews Property Services (APS).
The challenge Andrews faced was to set up all the services within the development and repair faults in order to let out the apartments, and ultimately sell them to recoup the defaulted debt. The service charge had to be set at a market rate, providing an additional challenge.
Andrews assigned a personal property manager to the development, to liaise with Fairfield Rents Ltd, contractors and all other stakeholders, acting as a single point of contact. The property manager conducted a full appraisal of the development, identifying and procuring estimated costs and timescales for essential and non-essential works. Andrews provided the client with a detailed recommendation and project plan taking into consideration the financial constraints, in order for them to set the service charge budget.
When the project went live, Andrews managed all repair works for the intercom, smoke vent system and fire alarm, set up contracts for internal cleaning, landscaping and window cleaning, plus carried out full assessments for health and safety and fire risk. In partnership with APS, the vacant properties were let out to tenants. This was completed within two weeks.
Once all the initial repairs had been completed within budget and services put in place, Andrews Leasehold Management then turned its attention to the longer-term projects that would add capital value to the development and aid resale, and started the consultation period for internal redecoration of the communal areas.
The redecorations will be taking place in early 2015. The client is now able to start marketing the remaining properties for sale to achieve their maximum value.