Page 13 - RBK&C Attachments 28-5-16 (77pp)

From: Graffiti Editions Ink/Designers studio@graffiti.biz Subject: Re: Flat 9 - Service Charge and Clarifications
Date: 17 December 2015 at 18:03
To: Fortunati Diego & Susanna diego.fortunati@baml.com
Bcc: Karupiah Segar segar_9@hotmail.com
Dear Diego - as requested. Paul
On 17 Dec 2015, at 16:16, Fortunati, Diego - GCIB LDN <diego.fortunati@baml.com> wrote: Dear Paul,
Please find a.ached confirma3on for the payment of the Service Charge 2016/1 for Flat 9.
I would appreciate if you could provide the following clarifica3ons, in a clear and concise manner, on the Forecast 2015 and Budget 2016:
1. Details of the expenditure for the refurbishment of Mitre House in 2015
there were no major works to speak of in 2015 - I can’t tell you total costs until the 2015 accounts are progressed.
2. Why general repairs have surged from 0 in 2014 to £1,150 in 2016? What do these fees refer too? Who is the supplier we are using?
no general repairs in 2014 as they were all covered by the external/internal works
budget for 2016 takes into consideration the average for other years as general repairs covers everything, drains, fire escape, lift, common parts etc
3. Why professional fees in the budget 2016 have gone up to £1,350 from £195 in 2014 or c. 6 3mes? What professional services are we using? Who is the supplier?
in 2014 we did not require asbestos/hygiene/fire/electrical/health and safety reports - in 2016 we will require two, the tri-annual lift and the bi-annual fire
4. I also noted the constant increase in the management fee and would appreciate an explana3ons as to why. Normally those fees are rela3vely constant over3me, eventually increasing mildly every 3 to 4 years, while you have increased them by 15% (from £4,320 to £4,995) in the last 2 years alone, well beyond even any infla3on sta3s3c
we held our fees for 3 years with not one iota of appreciation, in fact masses and masses of extraneous unnecessary workings, quotes, arguments, etc etc
we raised our management fees accordingly for 2015 and in keeping with every other Agent we’ve ever had or indeed you’ve ever known, have raised them by a small 3% for 2016 leaving them still very reasonable for the 24/7 services provided as both the running of the place, the recent works programme well evidences and not forgetting replies by return with requested information etc - you cannot say that about our’s or most likely your’s at 101 who either take forever to answer or never do....
If we could cut by half each of the 4 items above (which I don’t believe is unreasonable) we could save more than to £3,700 resul3ng in more funds for the reserve or immediate savings of c. £100 per quarter per flat: more than 10% vs. today. Appreciate thoughts about it.
this is daydreaming
On the other hand well done on the savings on the li] & common parts repairs costs. I noted the reduc3on, which I assume is the result of a renego3a3on of the contract keeping the level of service unchanged.