Property Management Flashcards
Talk me through the CRAR example at building 1000
- Tenant failed to pay the June 2022 quarter charges and was unresponsive to chasers.
- I recommended CRAR in our weekly Client call and following the issuing of the 7 day notice, the tenant paid the charges within 4 days.
Talk me through the CRAR process if the tenant had ignored the notice at Building 1000
- 7 days notice.
- Bailiffs then attend to count stock and enter into a controlled goods agreement.
- The tenant then has 48 hours to arrange payment or enter into an agreement after which if they default, bailiffs attend and remove goods from site.
- Goods are held for 7 days before they can be sold
Talk me through the 26-28 Glasshouse Yard licence to alter
- Tenant requested alterations and provided complex plans.
- I reviewed the lease to ascertain landlord and tenant obligations.
- I got a cost undertaking for all fees involved and requested that H&S information, Insurance information was provided.
- Building surveyors approved the works and upon completion, we attended to confirm works had been completed in accordance with the licence.
How did you advise the Client in terms of your competence at Glasshouse yard
I advised that due to the M&E works involved and complexity of installing new studio rooms, building surveyors and M&E consultants should be involved to oversee.
You say you attended site to inspect the completed works at 26-28 Glasshouse Yard, are you competent to do this?
No but I inspected with building surveyors
What information did you request from the tenant with respect to the licence to alterations at 26-28 Glasshouse Yard?
Plans
H&S policy
Insurance policy
1 year warranty
Talk me through the application to assign at Farringdon Point
- Tenant contacted me an advised that they no longer needed the space and would like to assign their lease.
- I reviewed the lease and understood the implications of the Landlord and Tenant Act 1988. I instructed a financial review and credit safe report.
- I also applied the profits method.
- It was determined that the tenant was of weaker covenant strength and so an AGA and 6 month rent deposit was requested and this was accepted.
What was the result of the Credit safe report of the incoming tenant at Farringdon Point assignment?
C 39 moderate risk
Where did you look in the lease to understand the landlords and tenants obligations with regard to the Licence to assign at Farringdon Point
Alienation clause – also Landlord and Tenant act 1988, 1927 and 1995
What information were you looking for in the tenants financial information with regards to the licence to assign at Farringdon Point
Overall financial position – profits test 3x net profit = annual rent
Are you competent to advise on the tenants covenant strength?
No I would always instruct a financial review from Client Accountants
When would it have been reasonable to reject the licence to assign at Farringdon Point?
If the incoming tenant had an undesirable character /user or if the tenant was of weaker covenant strength and refused an AGA
Why did you request an additional 6 month rent deposit on the Licence to assign at Farringdon point
To protect the landlords interest and provide additional security. It wasn’t a non-negotiable and we would have accepted 3 month additional deposit.
Talk me through the PPM at Riverbridge House
PPM instructed which highlighted areas of concern in terms of H&S and general disrepair. Works were incorporated into the budget over a 3 year period
What works were required in the PPM at Riverbridge House
Fire escapes in poor condition
Roof patch works
Stairwells in poor condition
Damaged cladding panels
Car park patch works
