Eastbourne Homes Limited (EHL) are putting an end to individual ‘Major Works Funds’ (MWF) from 1 April 2018, in favour of a more effective, industry approved method which is recommended by the Royal Institution of Chartered Surveyors.
The new approach, which was reviewed by Housing Quality Network (HQN), consulted on with the Leaseholders Panel and approved by the EHL Board is good news for leaseholders as it reduces the frequency of large, unexpected bills which will make planning and budgeting easier. It also helps ensures leaseholder’s blocks are regularly and properly maintained.
How block reserve funds work:
- A reserve fund is collected and retained until the need for works arises.
- The fund builds towards the cost of large sums of infrequent expenditure (i.e. roofs) and major items which arise regularly (i.e. redecorating).
- There will be a single fund for every block. Contributions will be made annually through the service charge.
- The funds will be held in trust by Eastbourne Borough Council and administered by EHL. They will be reviewed regularly and incur interest, with a statement issued annually.
- The contributions will be calculated from our 30 year asset management plan, a copy of which EHL leaseholders should now have.
- The next Leaseholders Surgery is planned for late spring. This will give you an opportunity to ask questions in person.
For more information please see the revised Leaseholders Handbook: