Management Restrictions in Lease

[Hotpend]

I am returning to a subject that I have raised on this forum previously.

Clause 21 of the First Schedule to the Lease (Management Restrictions) states: "No external wires or aerials satellite dishes or other electrical conductive installations shall be erected on the exterior of the Apartment or on any other part of the Premises."

Now the directors (acting as landlord in a shared freehold) have decided after a vote at the AGM of the |Management Company to install a communal satellite dish.

The cost of this installation will impact on the service charge. I do not think it is fair that those of us who do not want a satellite dish should be expected to pay towards the cost of one by way of increased service charge.

1) Are the directors acting lawfully in having the satellite dish installed when the Management Restrictions forbid such an installation?

2) Is it lawful to pass on the cost of such a new facility to leaseholders who do not want it?

Thanks in advance for replies.

[Richard Webster]

1) Are the directors acting lawfully in having the satellite dish installed when the Management Restrictions forbid such an installation?

Does the lease contain a right for the Management Company to modify the restrictions or make new ones? If so then they probably can do this.

2) Is it lawful to pass on the cost of such a new facility to leaseholders who do not want it?

Again, depends on the lease wording. Many leases contain wording that allows a landlord or separate management company to charge both for things they are obliged to do and also things they reasonably decide to do, even if there is no obligation. Therefore, if the wording is wide enough, they can collect the costs involved.

[Hotpend]

Thank-you very much for your response. I apologise for not replying sooner as I have been quite unwell.


You raised two points in your response and my clarifications are as follows:

The Landlord does have power to vary the management restrictions as is deemed appropriate. Does the Landlord not have to go through any process in doing so, for example notify all Leaseholder in advance of change or notify the Land Registry?

Regarding the question of charging for services not previously required, the installation of the satellite dish is not one of the items mentioned and there are no terms which could be widely interpreted to include the installation as far as I can see, and I have read the Lease very thoroughly.

The Lease does however mention that the cost of repairing or replacing existing conducting media - such as aerials, booster devices, cables and satellite dishes can be recovered by way of the service charge.

[Richard Webster]

The Landlord does have power to vary the management restrictions as is deemed appropriate. Does the Landlord not have to go through any process in doing so, for example notify all Leaseholder in advance of change or notify the Land Registry?

Not really. If it wanted to take action in respect of a breach of anew restriction then it would have to be able to show you had been notified of it, but that's all. If it decides retrospectively to waive the restriction on satellite dishes to allow this dish to be installed then I can't really see any formality is involved. It would presumably just say that is what it had done if you challenged the point, so it is hardly worth while doing that.

Regarding the question of charging for services not previously required, the installation of the satellite dish is not one of the items mentioned and there are no terms which could be widely interpreted to include the installation as far as I can see, and I have read the Lease very thoroughly.

The Lease does however mention that the cost of repairing or replacing existing conducting media - such as aerials, booster devices, cables and satellite dishes can be recovered by way of the service charge.

I haven't read the lease so can't say. However a lot of modern leases have a general charging head something like this: "The cost of the provision maintenance repair and renewal of any facility that the Management Company reasonably considers to be for the benefit of some or all of the lessees of the flats". That's my wording , but if there was something like that it could be wide enough to include it.

[New Homes Expert]

This is a benefit most would want anyway.
Once fitted their would be (should be) minimal annual charges for maintenance.
The lease rule was to stop everyone installing their own dish and making the building look untidy.

If you didnt like the idea of maintenace charges you shouldnt have bought leasehold!

[Hotpend]

Thanks to the two forum members who replied. Everything is clear to me now.

[New Homes Expert]

Glad to be of help.

Buying an apartment is very different from buying a freehold house. There are often many covenants and charges that freeholders dont have to worry about.