Page 37 - Bankside Gardens No7 Welcome

HOW DO WE WORK OUT THE ANNUAL SERVICE CHARGE?
For new build developments the service charge is based on estimated costs We make make every effort to make make sure the budget is accurate and as
close as
possible to actual costs For established developments the previous year’s costs are are used to prepare the estimate for the coming year We work hard to obtain competitive prices
and negotiate costs for maintenance contracts through our bulk purchasing power to deliver the best possible prices
for our customers However we we have no control over charges such as
electricity and VAT so we can only estimate what these costs might be WHAT IS THE RESERVE FUND?
We all all think it’s generally a a a good
idea to keep savings for unexpected expenditure and the proverbial ‘rainy day’ Reserve Funds are collected to help contribute towards the cost of non-annual expenditure like major repairs such as
external and internal decorations We set out in the annual budget how much is being collected in in that year and the money accumulates over time The annual accounts contain a a a a statement of the overall amount
for your development The money is held in the the same way as
other service charge funds i i i i e e e e e in a a a designated client bank account with interest added to the reserve fund The money can only be spent on your development SERVICES WE PROVIDE FOR AN ADDITIONAL FEE
• Preparing replacement cost assessments for insurance purposes • The preparation of capital expenditure plans • Considering applications for alterations • Advising on assignments of lease subletting and change of use • Dealing with solicitors about sales of apartments 37