Decision summary

LON/00AH/LSC/2020/0292 — service charge decision

In LON/00AH/LSC/2020/0292, decided 12 January 2021, the First-tier Tribunal considered 5 disputed service charge items at 52B Clyde Road, Croydon, Surrey and found largely for the landlord: 1 item was reduced or disallowed. Full decision on GOV.UK below.

Property: 52B Clyde Road, Croydon, Surrey
Decision date: 12 January 2021
Full decision: Read on GOV.UK

Managing agent named in the decision: Craig Sheen Block Management Ltd / SDL Property Management.

What was challenged and what the tribunal decided

ItemDemandedAllowedOutcomeGrounds
Major works (2016-17)£4,332.48—Disallowed entirelyOther grounds
Reserve fund contributions (2019-20)£20,000£20,000Allowed in full—
Reserve fund contributions (2020-21)£20,000£20,000Allowed in full—
Other charges (2019-20)£540£540Allowed in full—
Other charges (2020-21)£540£540Allowed in full—

Section 20C order: refused.

Key passages (verbatim)

“Accordingly we make no order in respect of the £4,332.48, but this is without prejudice to any claim which the tenant may bring against persons other than the current respondent.”
On major works
“In our judgment the payment of £20,000 on account is reasonable. The tenant owes his one third share in each of the 2019-20 and 2020-21 service charge years.”
On reserve fund contributions
“In our judgment the payment of £20,000 on account is reasonable. The tenant owes his one third share in each of the 2019-20 and 2020-21 service charge years.”
On reserve fund contributions
“The managing agents canvassed the market before instructing the current accountants. The tenant has adduced no evidence that a firm could have been instructed more cheaply.”
On other charges
“Since we have rejected the challenge to the £20,000 this point therefore fails as well.”
On other charges
“we agree with the tenant's submission that the consultation which Mr Sheehan carried out was poor. In a small block such as this, it would not be onerous to invite views from all three tenants. It would be in accordance with RICS guidance.”
Of Managing agent / respondent
“What is astonishing about this latter fund is that the balance brought forward from 2015-16 was £10,866. There was then an 'adjustment by previous agent' writing down that figure by £8,820 so as to give the £2,046 figure.”
Of Previous managing agents / former landlord

This summary is assembled from the structured record of the published decision; amounts appear only where the tribunal stated them. Always rely on the full decision itself.