News
The Property Institute – The Big Switch
Following the merger of ARMA and IRPM back in March 2022, The Property Institute have launched their new brand identity.
The transition to TPI’s new brand signifies a significant milestone for them, accompanied by the introduction of several added benefits for all TPI members. One notable enhancement is the launch of their new and improved website, which has transformed the way they deliver membership benefits and how their members can access them.
Enhanced benefits you can look forward to as a member of The Property Institute:
- A new website built from the ground up with more resources and an improved search function so you can access the information you need quickly.
- An upgraded online qualifications platform to help members with continuing professional development.
- An updated system that will improve user experience and allow for more targeted and personalised communications from TPI to you.
- Our larger policy team means TPI are enjoying closer working relationships with the HSE and government. This is already helping them to ensure new legislation works for residents and for you.
- TPI’s flagship events - the Annual Seminar and the Annual Conference, plus Regional Seminars, and the ACE Awards (which remain under the TPI banner).
- TPI Training (formerly ARMA Training) will continue at discounted rates to members.
"The new brand represents the completion of the merger journey after two years of consultation with members of both IRPM and ARMA, as well as a lot of hard work. We are confident that the new brand represents the professionalism that members demonstrate every day in their working lives." - Andrew Bulmer, Chief Executive, The Property Institute
ABI Announce Fire Safety Reinsurance Facility for Buildings with Safety Issues
The Association of British Insurers (ABI) has today announced a risk-pooling Fire Safety Reinsurance Facility, with cover starting from 1st April 2024.
The Association of British Insurers (ABI) has today announced a risk-pooling Fire Safety Reinsurance Facility, with cover starting from 1st April 2024.
Reinsurance support is now in place to launch the Fire Safety Reinsurance Facility, in an industry intervention to help improve the availability of insurance for certain buildings with combustible cladding and other fire safety issues.
The Facility has been established by (re)insurance broker McGill and Partners with extensive support from the Association of British Insurers (ABI) and through working in partnership with the British Insurance Brokers’ Association (BIBA) which will ensure brokers are made aware of the Facility.
It has two key intentions - to expand capacity for insurers already writing business for affected buildings and to encourage competition across the market so that more firms will provide cover. The ultimate solution remains the urgent need for works to take place to make buildings safe and resilient. The Facility is expected to run for three to five years whilst this happens.
The first step will be for the participating insurers – Allianz, Aviva, Axa, RSA and Zurich – to enter higher-risk buildings they currently insure, and which are awaiting remediation works, into the Facility at the point of their annual renewal. These firms have continued to be active in the market and are the top five firms providing insurance cover for commercial and residential buildings.
The Grenfell tragedy and Dame Judith Hackitt Review exposed significant construction and fire-risk issues related to these buildings. As a result, insurers have to consider the heightened risk of an entire building sadly being destroyed in the event of a fire and have had to limit the amount of cover they could provide, because the risk is too high for one firm to cover on its own. Brokers, Freeholders and Managing Agents have instead had to source insurance cover from multiple firms, meaning that several insurers are involved in covering one building, creating a ‘layered’ effect and adding to the cost. It is these buildings which will likely benefit most from the Facility.
Through a reinsurance panel led by Swiss Re, the Facility will enable insurers to expand the capacity they have for writing insurance for affected buildings and take on new business. Over the course of the following 12 months, the insurers will consider which additional buildings can be entered into the Facility as and when their insurance policies are due for renewal. In the longer term, it is hoped that the Facility will reinvigorate competition in the market and encourage other firms to write more business for affected buildings.
Buildings insurance premiums will continue to be based on a variety of risk factors, such as the type and age of the building, previous claims history and other property risks such as storm/flooding or escape of water. External factors such as construction costs and supply shortages will also have an impact.
Mervyn Skeet, ABI Director of General Insurance, commented:
“Supporting leaseholders and making insurance more widely available for higher-risk buildings with fire safety issues has been one of the ABI’s top priorities. I’m grateful to McGill and Partners and all the firms involved for their help in establishing this commercial intervention and hope it will encourage more insurers to enter the market and offer cover for these buildings.
“The industry has been determined in its efforts to support leaseholders, but it cannot solve the issue alone. Establishing the Facility is a significant step forward, but Government intervention and swifter remediation is still the only long-term solution. We strongly encourage Government to consider how it can support the Facility to boost confidence in the market or remove Insurance Premium Tax for affected buildings, to offer more immediate relief to leaseholders.”
More information and FAQS on how the Facility will work is available here and information for brokers representing affected buildings is available from the BIBA.
Spike strengthens its Presence in the Property Management Sector by Being Awarded The Property Institute (TPI) Partner Status
Spike is delighted to announce it has been awarded TPI partner status and will work closely with the Institute and its members to tackle the major challenges the property management sector is facing.
TPI (formerly ARMA, IRPM) is the leading professional body for residential property management in England and Wales. With over 335 managing agent members collectively managing 55,000 blocks, 1.5 million homes, and over £1bn in client funds each year, TPI is renowned for promoting best practices, providing invaluable resources, and advocating for the interests of both managing agents and residents.
In recent years, the property management landscape has been reshaped by a number of factors, including changing regulatory environments, evolving tenant expectations, and an increasing emphasis on community. However, technology solutions have not kept pace, with research revealing that property managers waste over 480 hours a year on using inefficient systems and spend 288 hours annually on repetitive tasks that could otherwise be automated.
Drawing on over 13 years of experience in the property sector, Spike’s innovative property management platform, Spike PMS, helps property managers drive new efficiencies, discover compelling clarity and enhance tenant and leaseholder communication like never before.
By becoming a TPI Partner, Spike will benefit from access to a wealth of resources, including industry-leading guidance and networking events, whilst working closely with property managers to ensure its solutions continue to meet and support the evolving needs of the sector.
Jonny Wootten, Marketing Director at Spike, comments: “We believe that property management should be smart, simple and seamless. By joining as a TPI Partner, we aim to provide and empower property managers with the tools they need to optimise, organise and thrive in today’s challenging world.”
What are our choices: Leaseholders Concerns Amidst Media Confusion.
In the ever-evolving landscape of property ownership, leaseholders find themselves caught in a whirlwind of conflicting information, exacerbated by the fallout from the Secretary of State for Levelling Up, Housing and Communities, Michael Gove.
Over the past two years, Gove made claims and pledges, raising hopes for leaseholders to have greater control over their leasehold apartments, only to see these assurances fall short, time and time again.
In 2022, Gove began promising to provide leaseholders with greater powers, assuring them that their concerns would be addressed, and their rights protected. However, as time progressed, it became evident that these promises were nothing more than empty rhetoric. Leaseholders were left feeling disillusioned and confused as they struggled to navigate through the changing landscape.
Such promises were supposed to empower leaseholders, but instead, they were left feeling disempowered and ill-informed. One of the key issues at the heart of this confusion is the lack of clarity surrounding the rights of leaseholders and their relationship with managing agents.
Amidst this chaos, mechanisms already in place to assist and support Leaseholders that wish to exercise greater involvement may have been overlooked.
For example, there is a glimmer of hope for leaseholders in the form of Resident Management Companies (RMCs). Greater control over the management of their properties is available for those who have purchased a property that holds a membership share in an RMC. Members nominate RMC Directors as spokespersons and decision-makers on their behalf, thereby establishing a management structure that puts their interests front and centre. This allows them to effectively collaborate with the managing agent within the framework of the RMC and take control of decisions relating to their block or development, ensuring that their assets and homes are managed in alignment with their needs, priorities, and current legislation.
In the absence of an RMC, guidelines relating to Right to Manage (RTM) provide leaseholders with the opportunity to assert their rights and take control of their living spaces. RTM empowers leaseholders to make decisions that support their assets while adhering to legislative requirements, putting power back into the hands of those who matter most – the leaseholders themselves.
In the eyes of the ethical managing agent (of which there are many), leaseholder engagement is vital. Leaseholders are not just stakeholders; they are invaluable contributors to the effective management of blocks. Their input and participation are crucial for fostering a sense of protection, community, and ensuring that the needs of all residents are met.
There is no wonder that leaseholders find themselves amidst a storm of confusion and frustration. However, there is light at the end of the tunnel. By leveraging the rights afforded to them through Resident Management Companies and legislation such as Right to Manage, leaseholders can reclaim control of their living spaces.
If you are a leaseholder feeling overwhelmed by recent media headlines and unsure of how to proceed, don't hesitate to reach out to Peach Property Consultancy. We are here to help you navigate through the confusion and empower you to take charge of your block or development.
Contact Emma at Emma@PeachPropertyConsultancy.uk to discuss how you can obtain greater control without confusion or fuss.
Above: Author, Emma Peach MIRPM AssocRICS
Principle resolves unsafe communal windows at Black Country apartment block
When residents at a Black Country apartment block reported unsafe window frames on their communal stairs, Principle Estate Management sprang into action.
The problems arose at the Bentley Wharf development in Short Heath, Willenhall, and were more challenging due to the age of the development, as there was a lack of any warranty on the faulty windows.
But Andrew Winstanley, a senior associate director at Principle who heads the firm’s property management operations, explained how this hurdle was quickly tackled.
Mr Winstanley said: “When these unsafe window frames were reported to our team by customers, we promptly dispatched contractors to assess the situation. Under the supervision of our building surveyors, contractors quickly made the area safe with temporary boarding, before confirming that the window installation across the stairways in all blocks was unsafe and that a full replacement was needed.
“At this stage, we established that there was no live building warranty with the developer, and that the cost would therefore fall on the block’s service charge funds. We issued clear communications to all customers explaining what was going on and our plans to resolve the issue. We also commenced the necessary consultation under Section 20 of the Landlord and Tenant Act 1985 (S20) with leaseholders, which is always necessary when major works are planned.
“Because the works were a priority, we applied for a dispensation from the need to consult from the First-tier Tribunal (Property Chamber) at the same time, allowing us to speed up the process. “This meant that tenders could be sought from contractors, including one nominated by leaseholders, during the S20 consultation, which was soon completed. “Funds were already in place as Principle had built up reserves in previous years to support major works, including emergency situations such as this, supported by long-term maintenance plans from our in-house building surveying team. “The local contractor nominated by leaseholders and assessed through Principle’s accreditation process was awarded the contract and instructed on what was needed. “We told all leaseholders about the start date, duration and logistics to be aware of, and the windows were successfully replaced within the stated timeframes without any issues.” Richard Coles, associate director at Principle and one of the firm’s senior surveyors, explained that his building surveying team managed the project. Mr Coles said: “We worked closely with the contractor to ensure the work completed to specification on budget and on time
Before
After
“Due to the nature of the works, it was crucial that all health and safety matters were adhered to at all times.” Following completion of the project, Principle received lots of positive feedback from its customers. One said: “I’ve just returned from holiday and what a lovely sight to return to! The stair windows look great and at last it feels lovely to live here, so a big thank you!” Principle, with headquarters in Birmingham and an office in London, has more than 65 staff looking after a portfolio of more than 12,000 units at around 375 developments across the UK.
ACE is back for 2024
Date & Time: Friday 21st June, 6.00pm - 12:30am
Venue: Old Billingsgate, London
Theme: The Great Gatsby/Roaring Twenties
Join us for an evening celebrating the outstanding accomplishments of the property sector’s managing agents and the impactful work of their people in improving the welfare of millions of leaseholders across the country.
Ticket sales are now open - make sure you reserve your spot or table for this summer’s event. Click here to book now