Grange Rath Update - payment of service charges

gipi

Even if the estate is taken in charge by the council, the management fees are likely to remain in place. Wheaton Hall was taken in charge a couple of years ago, and the same management fees still apply (mainly because the council won't maintain the grass areas).

horse7

There is something not quite right here, i have been on to the selling agent ,who insists there is no compulsory payment for householders in grange rath,(park lxxx) and if you wished it was 150euro to help maintain green areas. Is there something in your purchasing contract about this?

Mylow

horse7 wrote: »

There is something not quite right here, i have been on to the selling agent ,who insists there is no compulsory payment for householders in grange rath,(park lxxx) and if you wished it was 150euro to help maintain green areas. Is there something in your purchasing contract about this?

Each house owner is a shareholder in the management company, as part of that you have to pay maintenance fees each year. Ask the estate agent to put his statement in writing along with the solicitor of the person selling the property.

IN-THE-KNOW

Directed at horse7 - I would strongly advise you to double check with your selling agent and your solicitor regarding the service charges. Grange Rath is a private estate and it's in our contract that service charges must be paid in order for services to the green areas, electricity, etc.. to be carried out. This is compulsory as per lease agreement.

horse7

Thanks to boardsies ,the selling agent has admitted that is now the case,thanks all.

delly

horse7 wrote: »

Thanks to boardsies ,the selling agent has admitted that is now the case,thanks all.

Any agent who has dealt with Grange Rath would know that in fairness, although when you mentioned their stance above I thought of one specifically. I could be way off, but I do like a nice glass of Spanish wine.

IN-THE-KNOW

Nice article in the Irish Times - Thursday 25th Sept'14 - page 19 - Property Advice - "Concern over changes made by OMC directors". Irish Times prints almost 81,000 copies each day...WHOW...that's some coverage...

If I were the ex/current directors right now...I would be ashamed!!!!!!!!!!!!!!!

horse7

any links please.

IN-THE-KNOW

Directed at horse - I only have a scanned copy...can you private message and send me your email address please? Thanks.

IN-THE-KNOW

JUSTICE WAS WON FOR OUR EX-GARDENER YESTERDAY IN THE HIGH COURT...I COULDN'T BE HAPPIER!!!! :-)

Grange Rath ex/current directors lost their case involving the ex-gardener...now the owners of Grange Rath have to pay for all the legal fees for Grange Rath legal team and the ex-gardener legal team plus pay the ex-gardener outstanding payment of invoices with added interest - over €90K to pay...

What a complete waste of time and money the ex/current directors put the owners of Grange Rath through...it wasn't rocket science that we were going to loose the court cases involving our ex-agent & ex-gardener. These creditors carried out work and they were entitled to get paid!!!!

In my opinion, the ex/current directors had a personal grudge towards these two creditors and look were it got them...not very far!!!

horse7

IN-THE-KNOW wrote: »

Directed at horse - I only have a scanned copy...can you private message and send me your email address please? Thanks.

Thank you for the offer of a copy,but it won't be necessary.From your post it seems there will be a substantial increase in fees to pay for the court costs.

ytpe2r5bxkn0c1

Your opinion and asserting that the directors had a personal grudge are immaterial. Everyone involved with the estate, bar the gardener, will end up paying for these large legal fees. A pyrrhic victory if ever there was one.

darklighter

Helena Dazzling Penmanship wrote: »

Your opinion and asserting that the directors had a personal grudge are immaterial. Everyone involved with the estate, bar the gardener, will end up paying for these large legal fees. A pyrrhic victory if ever there was one.

Not really, there could be a case to be made that the directors didnt carry out their fiduciary duty to act in the best interest of the company throughout all his carry-on.

Mylow

darklighter wrote: »

Not really, there could be a case to be made that the directors didnt carry out their fiduciary duty to act in the best interest of the company throughout all his carry-on.

Which means another court case and additional cost for the residents. How can the judgement be enforced if the company doesn't have the money to pay. It is a complete mess.

IN-THE-KNOW

Owners of Grange Rath - just to make you aware that we now have a new auditor looking after our accounts.

IN-THE-KNOW

Owners of Grange Rath - it is believed that Grange Rath has been issued with a "strike off" notification from the CRO Office for not filing the 2013 accounts. If this happens then no one can buy/sell their apartment/house...

It is also believed that a general meeting will be called soon with the owners to discuss the situation of the accounts - again I believe this when it actually happens...

horse7

I wonder is that why houses are not selling there.

leonards

horse7 wrote: »

I wonder is that why houses are not selling there.

I know a couple that very recently bought a house there and got the keys this weekend. Stop talking tru ur arse...

ytpe2r5bxkn0c1

There is a lot of unfounded scaremongering going on here.

IN-THE-KNOW

Directed at horse7 - at present I don't think the notification of the "strike off" is the problem. The problem would only occur is when Grange Rath has been struck off. To resolve the issue, the Directors of Grange Rath need to file the accounts and unfortunately to this date there are problems with the accounts which I'm totally baffled because we had one of the directors working full-time as an accountant from the time of the illegal AGM July'13 to the time she resigned in April'14 so we shouldn't be in this mess...

horse7

How will these events affect the purchase and sale of properties in the area?

Lantus

a strike off will be a SIGNIFICANT issue for all owners should it occur.

It essentially means that the company no longer exists in any legal sense until it is legally restored.

No company means that there is no insurance for the greens (I don't believe there are any apartments in this development?) and that no work can be undertaken whatsoever and no money can be collected. The company is an integral part of the legal contracts so having an important party like this 'missing' is an issue that could very easily prevent a unit sale. Most banks nowadays will not entertain the idea of lending for a property where the management company is gone so property sales become virtually impossible.

The cost of restoration is typically no more than €10,000 through the high court which would need to be paid for by the owners. There is a provision in the CRO to simplify this now assuming certain conditions are met and it is restored in a timely fashion.

The current directors could find themselves subject to prosecution from the ODCE for negligence and failing to submit accounts which is a core legal duty of the directors. If a registered accountant was a director during the period the accounts should of been submitted then it could be even worse for them as in the eyes of the law they are a professional in this regard.

I would find out ASAP what the directors are doing about this. Grange Rath has a bad history regarding its directors and I would be very hesitant as to the competency of the director team. Problems like these need professional input at every stage to rectify. This probably wont be the auditor as they can hardly advise on how to 'mend/fix' accounts to make them legally viable.

Hope you get this resolved and there cannot be any more of a clear message as to how critically important an estates management company is. Unit owners cannot afford to be apathetic any longer in OMC matters. They need to educate themselves and get involved at every level!

horse7

So for someone buying a property there could be monies owed to the property company,but the management accounts are not in order.

IN-THE-KNOW

Directed at Lantus - many thanks for your information, much appreciated.

Grange Rath development has over 300 apartments therefore insurance on the blocks will be an issue should the strike off go ahead.

There are 3 directors for Grange Rath and unfortunately it's a case of 2 directors along with our management agent against 1 director. The 1 director has been fighting tooth and nail to try and resolve the issues on hand but unfortunately with meetings being cancelled last minute, information not being supplied in a timely manner and even questions/emails not being answered has resulted in this mess.

When the ex/current directors were elected in March'13, they knew what the problems were at the time with our development and they promised us owners at meetings that they could make a difference for the better. Instead, what we got for our money is more problems i.e <snip> changes to our memo & arts so that they can pay themselves, family & friends, high court legal fees and now the accounts are not adding up.

It's a total disgrace...

Lantus

IN-THE-KNOW wrote: »

Directed at Lantus - many thanks for your information, much appreciated.

Grange Rath development has over 300 apartments therefore insurance on the blocks will be an issue should the strike off go ahead.


It's a total disgrace...

I didn't realise it there were that many! No block insurance is quite serious. In a recent case where the OMC was functional and normal but they had a problem obtaining their insurance they were advised that all tenants must vacate the block and unit owners could only live there at their own risk and it was temporary and could be asked to leave at any time. Things like lifts may need to be disconnected and any other service to ensure the company liabilities are restricted. Even so its a nightmare situation. If works needed doing to the building in the interim no one could do it. If unit owners took matters into their own hands they could be held accountable for the works meaning if anything went wrong they could be legally responsible and any repairs or works could invalidate the current policy and any future policy. The company could conceivably lock the doors to common entrances until the matter is resolved.

IN-THE-KNOW

Directed at Lantus - again, many thanks for your information.

I could not even imagine what way the residents would feel should they need to be forced out of their homes should the company be struck off...my God!

I believe the Directors (apart from one may I say for the record) need to take a hard look at themselves and resolve the issue on hand as a matter of urgency.

horse7

Is there any hope that if and when this issue is settled,that the council would take over the estate.?

Lantus

a council wont normally replace an OMC although in a very few cases it can be written into the lease but typically that is where there are only a few houses and the OMC was an interim measure only. Where you have apartments they will never take over the estate. The exception to this will be the roads and street lighting and underground drainage, paths etc. Everything else will be the responsibility of the OMC and the unit owners to maintain.

Do the apartments have fire safety systems that the company maintains? If the company was struck off the council / fire officer / HSA could deem these buildings 'unsafe' and even go so far as to make a forced evacuation order. They could also take court action against the directors for failing to maintain a safe building. There is nothing good about a strike off hen an OMC is concerned.

Future property values could be detrimentally affected as could saleability as records of a strike off are public record on the CRO even when your restored which would put severe doubt in a buyers mind as to the overall risk they are taking in investing in the estate.

I'd be pushing for director clarification or a public meeting to be held to outline what the situation is and what is being done to correct it. If these directors are responsible then don't rule out member legal action as well.

OMC accounts are not any different to household accounts, just more of them. I could train a child to do them (and probably a half smart ape). Problems could indicate a severe lack of competence which a court would look very dimly on.

horse7

So at the moment it would be risky to buy a home in Grange Rath.

IN-THE-KNOW

Directed at horse7 - in my view; if I were to start over and purchase a house in Grange Rath for the first time at this present time, I would hesitate to buy on the basis of the accounts not being filed on time - that is one of the signs of when you know when a development is in trouble...