Pay a bill
Property Management Building Design and Property Consultancy About Clients Blog Contact us

Case Studies

Owners’ Management Company

Introduction

In late 2011 we were appointed to manage a mixed use development in Dublin 8. A new board of management had recently been appointed and were concerned about how the development had been managed previously. Following our initial site survey and preliminary report it was apparent that there were a number of challenges. Having had sight of company records it was also clear that the management of the company’s finances was less than satisfactory and that the OMC was in fact insolvent and unable to pay its creditors as they fell due.

Challenges

  • The developer was in receivership
  • The previous agent did not provide a handover file
  • The client has inadequate funds to pay for essential services and day to day activities • There was an incomplete picture of the property title
  • There was an incomplete Service Charge Structure with less than 100% recovery
  • Significant service charge debtors
  • Poor standards of maintenance and repair

Solutions

  • Agreed a loan from members to inject essential cash into the company
  • Negotiated significant discounts from historic creditors to return the company to solvency in an orderly manner
  • Complete a full title and service review establishing certain contributors had been removed from the service charge structure without agreement and that certain services were being enjoyed by that third party without contribution
  • We rectified the above by negotiated the execution of a Deed of Rectification to regularise service charge contributions ensuring 100% recovery of costs while also successfully negotiating a six figure settlement for our client in respect to the non-payment of service charge and contribution to services
  • We clarified the position on title and continued to work on behalf of the client with the Receiver / Liquidator to execute the transfer of the common areas

Achievements

  • Significant surplus of funds achieved for client and sinking fund established
  • Owners Management Company on sound financial footing and able to meets its day-to-day financial obligations
  • Full planning of common area redecoration programme including upgrade of access control, CCTV installation and landscaping improvement