Panel debate at the ARMA conference 2018
A summary of some of the key points from this debate appears below:
Professor Nick Hopkins – we are putting forward options for reform on valuation rather than proposals – unlike in the other areas.
Debra Yudolph gives the detail from the developer perspective- the issue of commonhold and handover to the association – the issue is loss of control.
How to make the marriage between the leaseholder and the freeholder work? Graham Donaldson – says that lots of people only own for say 5 years – a developer standpoint – length of tenure should drive your say in management.
Graham compares with the Nolan Principles of how one should behave – we need people to be selfless objective and fully accountable.. a key point for all RMC co and commonhold directors.
Any code needs to apply to all – 3rd party managers, freehold owners, managing agents.
More issues are being resolved via company law.
Nick Hopkins says that with mixed use and commonhold there needs to be a discussion on developer rights – this is a known issue.
We won’t be saying that commonhold should always be used. We don’t want to make it compulsory – we just want to make sure that where it is used that it works.
The Nolan principles may be relevant.
Fixing the ground rent has to balance the autonomy that they may of may not have – says Debra Yudolph. The law Commission needs to look at this as there is a large responsibility on the reversionary owner. The ground rent compensates for this.