Southern Land Securities LtdApplicantLeaseholders of 30 Atheldene Road Sw18 3BWRespondent
Before
Mr R Waterhouse BSc (Hons) LLMTogether Property Management Ltd (Elly Chatzimanoli) for the ApplicantNone For dispensation from the consultation for the RespondentDate 18 June 2025Property: 30 Atheldene Road SW18 3BWType of application: requirements under Section 20ZA Landlord & Tenant Act 1985
DECISION
This has been a remote paper determination, which has been consented to by the parties. A face-to-face hearing was not held because it was not practicable, and no one requested same. The documents the Tribunal were referred to were in a bundle of some 55 pages. Decision(1) The Tribunal determines that unconditional dispensation should be granted from the consultation requirements from Section 20ZA of the Landlord and Tenant Act 1985 (the Act) in respect of the property 30 Atheldene Road London SW18 3BW.(2) We make no determination as to the reasonableness of the costs of same, these being matters which can be considered, if necessary, under the provisions of s27A and s19 of the Act. The Application[1]This Application received 27 January 2025, is made by Elly Chatzimanoli of Together Property Management Ltd on behalf of, the freeholder, Southern Land Securities Ltd.[2]The Application seeks dispensation from the consultation requirements under Section 20ZA of the Landlord and Tenant Act 1985.[3]The Application is concerned solely with the question of what consultation if any should be given of the consultation requirements of Section 20 of the 1985 for works costing in excess of £250 per flat. It is not concerned with the reasonableness or payability of any service charges which may arise. The Determination[4]A written Application was made by Together Property Management Ltd. The tribunal considered the written bundle of 55 pages, in support of the Application. Background The property[5]The Property comprises a mid-terrace Victorian House constructed around 1875 over ground and first floor.[6]The Application is made for “qualifying works”. The Form notes under “Grounds for Seeking Dispensation”; specifically, “on 2 October 2024 ..a report of water ingress into flat 2 from the terrace of flat 3. Contractors attended and provided a cost for the works however the cost exceeded the legal threshold but due to the nature of the works we had to proceed urgently.” The Application continues “no section 20s have been sent to the leaseholders however we wrote to them to advise them of the need for this works to go ahead, the cost of the work and that we would be making an application to the First tier Tribunal. We received no objections from the leaseholders.”[7]The Directions dated 12 February 2025, provided for the tenants to be given copies of the Application form, and a copy of the Directions.[8]The Directions also note that any leaseholder who opposes the Application should by the 13 March 2025 complete the reply form and return it to the Tribunal. The Landlord may by the 20 March 2025 provide a brief reply to any leaseholder who opposes the Application.[9]No evidence of leaseholders objecting has been received by the tribunal. 10.. The only issue for the Tribunal is whether or not it is reasonable to dispense with the statutory consultation requirements of Section 20 of the 1985 Act. This Application does not concern the issue of whether any service charge costs will be reasonable or payable. Documents[11]The Tribunal has had recourse to the Bundle of 55 pages which includes the Application form, Directions, quotations and a copy of a specimen lease. The Tribunal’s decision[12]The Tribunal grants dispensation under Section 20 ZA of the Landlord and Tenant Act 1985 and the Service Charges (Consultation) (England) 2003 for the works set out in the Application.[13]We are, aware of the judgment in Daejan Investments Limited v Benson and others [2013] UKSC 14. The Application for dispensation is not challenged.[14]The Supreme Court (Lord Neuberger at para 50) accepted that there must be real prejudice to the tenants. Indeed, the Respondents do not oppose the Application. It is accepted that we have the power to grant dispensation on such terms as we think fit. However, the Landlord is entitled to decide the identity of the contractors who carry out the work, when they are done, by whom and the amount. The safety net for the Respondents is to be found in Sections 19 and 27A of the Landlord and Tenant Act 1985.[16]Accordingly, we find that unconditional dispensation should be granted.[17]Our decision is in respect of the dispensation from the provisions of s20 of the Act only. It is open to the opposing leaseholder or others to apply under the Landlord and Tenant Act 1985 Section 27A, should there be concerns over the payability and reasonableness of the service charge, these may include concerns over necessity, quality of work and its cost. Richard Waterhouse Name: Richard Waterhouse FRICS 14 May 2025 ANNEX – RIGHTS OF APPEAL[1]If a party wishes to appeal this decision to the Upper Tribunal (Lands Chamber) then a written Application for permission must be made to the First-Tier at the Regional Office which has been dealing with the case.[2]The Application for permission to appeal must arrive at the Regional Office within 28 days after the Tribunal sends written reasons for the decision to the person making the Application.[3]If the Application is not made within the 28-day time limit, such Application must include a request to an extension of time and the reason for not complying with the 28-day time limit; the Tribunal will then look at such reason(s) and decide whether to allow the Application for permission to appeal to proceed despite not being within the time limit.[4]The Application for permission to appeal must identify the decision of the Tribunal to which it relates (ie give the date, the property and the case number), state the grounds of appeal and state the result the party making the Application is seeking