Every shareholder has to pay a service charge to cover the provision of services which are detailed in the terms of the Lease. This includes gardening, communal electricity, communal repairs, communal cleaning, roads and pathways maintenance, lifts, intercoms and gates maintenance, buildings insurance, agent management and accountancy fees.
For a more detailed explanation, please refer to your annual service charge budget which is issued each year by BGMCL.
The Service charge is payable to BGMCL under the terms of the leases and transfers, and is due on the 1st of January each year.
Full payment instructions are sent out each year with the invoices.
To find out how to make payment, please refer to your invoice pack which is sent each December. Please do contact us as soon as possible should you encounter any difficulties in paying and we will do our best to assist you.
The service charge is an estimate of the costs for the following year. There are two elements to the service charge:
- Re-current expenditure is expenditure on those items which reoccur each year. Any difference from year to year is based on known or anticipated changes in expenditure due to inflation or market conditions.
- Planned maintenance funds are held to cover necessary maintenance expenditure. Funds are created to meet the expected expenditure over the maintenance cycle.
Changes in the service charge from year to year would be expected to be due to changes in re-current expenditure. The exception will be when changing maintenance cycles or a significant under budgeting for maintenance expenditure.
BGMCL does not make a profit. The aim is to evaluate the budget as accurately as possible what funds are required for the year. These are then presented to the shareholders during the annual general meeting (AGM).
When approved by shareholders’ votes during the AGM, BGMCL will ensure that the agreed budget is spent as efficiently as possible. The Directors monitor closely the shareholders’ payment and the expenditures through the year. Remaining funds, if any, will be quantified, transferred and used in the following periods.
For leaseholders only, ground rent is payable to the Freeholder’s agent, Estates and Management, due 1st January each year. The Freeholder’s agent sends out invoices at the end of the year ready for the start of the next calendar year. The amount of the charge varies according to the size of the flat being leased.
Unfortunately, Brockwell Gate Management Company Limited cannot deal with Ground Rent enquires.
Houses are subject to an Annual Rent Charge payable to Brockwell Gate Management Company Limited. This is included on your annual Service Charge invoice. It is payable at the same time as your Service Charge.