© 2025 News On The Block. All rights reserved.
News on the Block is a trading name of Premier Property Media Ltd.
© 2025 News On The Block. All rights reserved.
News on the Block is a trading name of Premier Property Media Ltd.
To be wholly effective, a Resident Association needs to be formally recognised. There are an increasing number of cases whereby recognition has been granted but then the Association fails to continue to adhere to the conditions stipulated when formally recognised.
Landlords and managing agents acting on the freeholders behalf generally encourage the formation of properly constituted and democratically run Associations. These are set up to represent the collective interests of the lessees either voluntarily by the Landlord or compulsory through the Rent Assessment Panel (RAP).
It is a positive means by which you can include more people into the management process and will probably generate more positive feedback on daily issues. It also allows demonstration of a management style which promotes transparency and accountability and helps the relationship between Landlord/Managing Agent and Lessees.
However, once the Association has been formally recognised by the Landlord, with stipulated obligations discharged to the managing agent, are there sufficient good management practices put in place to ensure its continued recognition?
The RAP will normally grant recognition for a period of 4 years. It has the right to cancel recognition if it is no longer appropriate or merits recognition. For those Associations voluntarily recognised by the Landlord and to ensure the Association is representing the interest of the majority of lessees and has the proper mechanisms in place for decision making and accountability to its members, alternative good management practices should be adopted. Landlords / managing agents should require that Associations submit annually the following:
Confirmation that an AGM and correct voting-in of officers has taken place
List of elected officers
List of current members
The practice adopted should be set out in writing when recognition is first given and procedures put in place to ensure that these criteria are continually met. Problems arise when an Association has been formally recognised but then fails to meet the criteria of recognition on an ongoing basis. Therefore the Landlord / managing agent may find themselves in a situation whereby the Association is no longer properly constituted and is effectively rendered dysfunctional and working against the principles of why it was set up in the first place: to act in the interest of the majority in a fair and democratic manner.
The Landlord / managing agent reserves the right to withdraw recognition if either the membership falls, as a general rule, below 60% of qualifying lessees or the rules of the constitution are not followed. Formal recognition can be withdrawn by the Landlord / managing agent by giving notice to the Secretary of not less than 6 months under S.29 of the Landlord & Tenant Act 1985.
The formation of a voluntary recognised Residents Association brings many advantages to the management of a development but must continue to be representative to have validity.
Helen Christie comes from a legal & property management background, currently Associate Director at Harrods Estates.