Property Management

Question 1

What is the Landlord and Tenant Act 1988

Answer 1

to ensure statutory duty exists on the landlord to deal with consents (eg alienation) diligently and not to be unreasonably withheld and delayed.

Question 2

What is the Landlord and Tenant (covenants) Act 1995

Answer 2

relates to assignment of leases and abolishes privity of contract with new leases. Introducing the AGA (authorised guarantee agreement).

Question 3

When and how do you serve notice re an AGA?

Answer 3

Must be served within 6 months of tenant default via Section 17 Notice.

Question 4

When is a Licence for alterations required?

Answer 4

completed for tenant works - protects the tenant at rent review and dilapidations.
Most require reinstatement at the end of the lease.

Question 5

What are the two fundamental principles of rent collection?

Answer 5

Accuracy of information

Timing

Question 6

What are the remedies for rent default?

Answer 6

1. Court proceedings
2. Use of rent deposit
3. Pursue former tenants and guarantors
4. Serve a statutory demand
5. Commercial rent arrears recovery scheme
6. Forfeit the lease
7. Negotiation of repayment plan
8. Agree a turnover rent

Question 7

What are the four key objectives of the Service charge in commercial property 2022, 1st edition?

Answer 7

1. To improve standards and promote best practice (fairness, transparency)
2. To reduce the causes of disputes and give guidance on resolving disputes
3. To ensure timely issue of budgets and year end certificates
4. To provide guidance for lawyers, tenants, landlords and managers in negotiating, drafting, interpreting leases

Question 8

what are the four service charge apportionments?

Answer 8

1. Floor area (apportionment)
2. Fixed percentages
3. Rateable value
4. Weighted floor area (eg shopping centre).

Question 9

whats the different between a sinking fund and a reserve fund?

Answer 9

Sinking fund is for replacement of plant and equipment such as HVAC, lifts etc.
A reserve fund is for future anticipated costs for maintenance and upkeep to avoid fluctuations (eg external cleaning or redecorations).

Question 10

What are the various forms of insolvency

Answer 10

1. Administration
2. Receivership
3. CVA
4. Pre-Pack Administration

Question 11

Provide some points within commercial property in england and wales (further reading)

Answer 11

Deals with property managers core duties
Acting as an Agent for the LL
Managing third party suppliers
Duty of Care
Health and Safety and fire safety
Service charges

Question 12

Commercial property management in england and wales - name some key relevant legislation

Answer 12

Occupiers Liaibility Act 1984
Corporate manslaughter 
Health and Safety at Work Act 1974
Provision and use of work equipment 1998
Equality Act 2010
Energy performance of buildings Regulations 2007

Question 13

What does commercial property management in england and wales cover?

Answer 13

its a guidance note dealing with the core principles and duties expected of a commercial property manager and provides a useful list and summary of relevant property related legislation