Leaseholder – charges

As a leaseholder, you contribute to the costs of maintaining communal areas and essential services like cleaning, landscaping, and repairs. These charges help us to keep shared space in good condition. They also cover the necessary compliance and administrative support, helping us to uphold the obligations of your lease.

Every year, you'll receive a service charge estimate which breaks down the charges so you can see exactly what you're contributing toward. The estimate is what we think the costs may be for you across the financial year.

Costs and charges may change depending on the amount of maintenance your building needs, repairs, and other expenses throughout the year.

How are my Service Charges calculated

Your service charges are calculated based on:

• The size or type of your property
  
  
• Your share of total costs - outlined in the lease.
  
  
• Building upkeep - Routine maintenance, insurance, and repairs.
  
  
• Major Repairs - Some payments go into a reserve fund for major work, like roof replacements. 
  
  
• What your lease says we can charge you for and how we should calculate this.
  
  
• What services we deliver to you across the year.

Charges are based on the terms of your lease and are raised across the financial year, which is April to March.

Your lease determines when payments are due, and there are two common payment methods:

1. Interim Payments
   
   
   • You make advance payments based on an estimated service charge for the year.
     
     
   • These estimates are set by the Association's Section 125 notice under the Housing Act 1985.
     
     
   • At the end of the year, we work out exactly what it has cost, and provide you with this as your final bill.
     
     
2. Final Payment at Year-End
   
   
   • Instead of making interim payments, you'll receive a full bill at the end of the charging period.
     
     
   • This means you pay the exact amount based on actual costs once the annual statement is issued.
     
     
   • If you have questions, you can review the service charge reconciliation to see how costs were allocated.

Some leases include ground rent as a charge. This is a fee paid to the us separately from service charges. It most often applies to leasehold properties where the land remains under our ownership.

Your lease will specify the amount, payment terms, and any conditions related to future increases

These ensure your lease is properly managed, covering services that help you understand your rights and responsibilities as a leaseholder.

What management charges cover:

• Expert leaseholder support – Helping you navigate lease terms and obligations.
  
  
• Building management – Ensuring communal areas are well-run and maintained.
  
  
• Administration costs – Processing service charge accounts, handling lease queries, and managing payments.

These cover buildings insurance, protecting your property from unexpected events like fires or floods. The cost is calculated based on your property size and type, in line with FCA guidance. This is different to your own personal contents insurance.

Insurance costs (premiums) may rise based on if the building has had previous claims.

We review contracts to make sure we're getting the most suitable cover for the best cost.  

In addition to service charges and ground rent and insurance, leaseholders may need to pay administration charges for specific legal and leasehold processes. These can include:

 

• Serving notices – Fees for issuing official notices, such as subletting permissions or changes in ownership.
  
  
• Deeds of Variation – Costs related to legally changing lease terms, such as adjusting ground rent or extending the lease.
  
  
• Solicitor and legal fees – Charges for lease-related legal work, including lease extensions, property assignments and resales.

You have the right to question any charges and request a full breakdown of costs relating to our administration charges. 

Leasehold charges can change due to maintenance needs, rising service costs, insurance adjustments, or major works. Some buildings also collect reserve funds to plan for future repairs.

Major works refer to significant repairs, maintenance, or improvements carried out on a building that leaseholders contribute to through service charges. These works go beyond routine upkeep and often involve large-scale projects such as:

• Roof replacements – Fixing or replacing worn-out roofing materials.
  
  
• Structural repairs – Addressing issues with walls, foundations, or balconies.
  
  
• Lift replacements – Installing new lifts or carrying out major repairs.
  
  
• Communal decorations – Repainting or refurbishing the building.
  
  
• Fire safety upgrades – Installing or improving fire alarms, sprinklers, or emergency exits.