Builders Obligation on Management Fees on Unsold Properties

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smileyface

Guest
Just looking for some advice

Currently living in an apartment in a managed estate

The management company budgeted for the year on receipts from all units

There are twenty three unsold units in the estate

Does the builder have an obligation to pay management fees for these unsold properties?

Currently the situation is that residents are to be billed extra for the short fall in fees caused by the unsold units

Any advice would be greatly appreciated
 

aamstudent

Frequent Poster
Messages
35
My understanding is that the contracts signed on purchase set out the various responsibilities. There will have been one that deals with the management company and that should have set out the various obligations. The other post referred to states that someone got legal advice re a specific situation. It cannot be presumed that the same advice applies across the board. OP should go back to your solicitor and find out what the documents say.
 

Dee101

Frequent Poster
Messages
142
My understanding is that the contracts signed on purchase set out the various responsibilities. There will have been one that deals with the management company and that should have set out the various obligations. The other post referred to states that someone got legal advice re a specific situation. It cannot be presumed that the same advice applies across the board. OP should go back to your solicitor and find out what the documents say.
Exactly, you will need to refer to your documents ,every contract will have different clauses.
In saying that the documents will have been drafted by the Solicitor for the builder so you can bet your a** they have covered themselves.
 

bigchicken

Frequent Poster
Messages
151
The problem is that most contracts don't specify what happens to unsold apartments. They are not mentioned at all.
 

markpb

Frequent Poster
Messages
431
The problem is that most contracts don't specify what happens to unsold apartments. They are not mentioned at all.
Exactly. I'd be surprised if they did since the lease is relating to your property and no-one elses. Perhaps the head lease between the developer and the management company might but I've never seen one.
 
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bobbyb33

Guest
looking for advice
i live in a mixed estate of houses and small apartment blocks.there are 14 houses unsold and 16 unsold apartments.the builder is still advertising the estate in the newspapers as under construction.i would appreciate if anyone could tell me if the builder is still responsible for the estate and not the management company
cheers
 
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