Need an Independent Tribunal-Appointed Manager?
If your freeholder or managing agent has failed to properly manage your building, the First-tier Tribunal may appoint an independent manager under Section 24 of the Landlord and Tenant Act 1987.
East Valley Block Management offers a free initial Section 24 case screening. Where we agree to be nominated, our proposed remuneration and any foreseeable additional charges are set out before appointment, so applicants and the Tribunal can see the cost from the outset.
Why Apply?
An application usually follows a pattern of management failure that has not been put right despite being raised. These are the situations we are most often asked about.
Freeholder refusing to manage
Repairs ignored, no communication, no maintenance.
No buildings insurance
Failure to insure the building or provide evidence of insurance.
Service charge concerns
Lack of transparency, missing accounts or misuse of service charge funds.
Sale falling through
Unable to obtain an LPE1 or management information causing property sales to collapse.
What is a Tribunal-Appointed Manager?
A Tribunal-appointed manager is an independent professional put in place by the First-tier Tribunal (Property Chamber) to manage a leasehold building instead of the landlord or their managing agent.
The manager is appointed under Section 24 of the Landlord and Tenant Act 1987 and acts under the terms of a management order made by the Tribunal, not on the landlord's instructions. The order says what the manager must do, how long the appointment lasts and how they are paid.
It is a remedy for poor management rather than a change of ownership. The freeholder keeps the freehold; they simply lose control of day-to-day management for the period of the order. It is also different from Right to Manage, where leaseholders take over management themselves through an RTM company without needing to prove fault.
- 1
Review the evidence
The management failures are documented and the lease and accounts are examined.
- 2
Tribunal application
Following a Section 22 notice (where required), the application is made to the First-tier Tribunal.
- 3
Tribunal hearing
The Tribunal considers the evidence from the leaseholders and the current landlord or agent.
- 4
Independent manager appointed
If the Tribunal is satisfied, it makes a management order naming the manager, the functions transferred and the remuneration payable.
- 5
Management under the order
The manager carries out the functions the order transfers, which normally include service charge administration, insurance, contracts and day-to-day management. Functions the legislation reserves to someone else, such as Accountable Person duties in a higher-risk building, cannot be transferred by the order.
How We Can Help
Free initial case screening
A short, no-charge review of the enquiry to see whether the case looks potentially suitable for us and what further information would be needed.
Detailed proposed-manager assessment
Where substantial work is needed before we can agree to be nominated, a fixed fee is quoted in advance and confirmed in writing.
Proposed manager
Where we agree to act, we provide our credentials and our proposed remuneration so applicants and the Tribunal can see the cost before appointment.
Ongoing Management
If appointed by the Tribunal, we provide professional block management including:
- Service charge administration
- Buildings insurance
- Contractor management
- Repairs
- Compliance
- Financial reporting
- Communication with leaseholders
Why Choose East Valley?
Independent
No links to freeholders, insurers or contractors that could compromise our judgement.
Transparent remuneration
Proposed fees and foreseeable additional charges are set out in writing before any nomination.
Leasehold specialists
Residential leasehold blocks are our core work, not a side service.
RTM and RMC experience
Day-to-day experience of acting for RTM companies and resident management companies.
Modern cloud accounting
Service charge accounts kept in real time, with clear reporting to leaseholders.
Responsive communication
Named contacts, logged repairs and replies within working hours.
Greater London based
Locally based, able to attend the building and meet leaseholders in person.
We also act for RTM companies, share-of-freehold buildings and freeholders, with published fees.
Our Approach
We do not automatically accept every Tribunal instruction. Before agreeing to act we carry out our own independent review, because becoming a Tribunal-appointed manager carries significant professional responsibilities.
We assess:
- Legal documentation
- Financial viability
- Service charge position
- Practical management issues
- Whether we are comfortable accepting the appointment
If we do not believe the building can be managed properly on the terms proposed, we will say so. That is better for leaseholders than an appointment that fails after a year.
Transparent Section 24 fees
We aim to keep the initial barrier to finding a proposed manager low. We can carry out an initial suitability screening without charge. If we agree to be nominated, the proposed management remuneration and any foreseeable additional charges are set out transparently before appointment, so the applicants and the Tribunal can understand the proposed cost. The First-tier Tribunal ultimately determines the manager's functions, powers and remuneration through the management order.
Initial case screening
Free
A short screening of your enquiry, with no charge and no obligation on either side.
Detailed proposed-manager assessment
From £450
Only where substantial pre-nomination work is required. Quoted and agreed in writing before we start.
Tribunal-appointed management
From £3,500 per year
The proposed annual remuneration for acting as manager under the order, depending on size and complexity.
Initial mobilisation
Quoted before appointment
One-off takeover work on a Section 24 block. Disclosed as a fixed sum before nomination, not absorbed into the annual fee.
Exceptional work outside routine management
£95 per hour
Only where the management order permits it, and only for work outside the routine management functions.
Tribunal or hearing attendance
£450 half day, £750 full day
Where the order provides for attendance and reporting to be remunerated.
Section 20 consultation
Existing published fee bands
Our standard Section 20 administration bands apply where the order permits, from £500 for works up to £5,000.
Major works project management
Quoted separately
Where the order permits a separate major works fee, the basis is disclosed in advance rather than applied afterwards.
East Valley Block Management Ltd does not currently charge VAT. Our standard block management fees and Section 20 consultation fees are published in full. Where additional work is foreseeable we prefer to identify the proposed basis of charging before appointment rather than rely on unexpected fees later.
Initial case screening: free
This includes:
- A high-level review of your enquiry
- Basic information about the building
- Why appointment of a manager is being considered
- The broad management issues involved
- Whether the case appears potentially suitable for East Valley
- What further information we would need
It is not:
- - Legal advice
- - A full assessment of the merits of an application
- - Preparation of the Section 24 application
- - A detailed lease review
- - Detailed forensic accounting
- - Representation at the Tribunal
We retain discretion to decline a nomination after screening.
Detailed proposed-manager assessment: from £450
Some cases need substantial work before we can responsibly agree to be nominated. Where that applies, we quote a fixed fee in advance. The work can include:
- Detailed document review
- Site inspection
- Review of the leases
- Historic service charge accounts
- Compliance information
- Major works position
- A proposed management plan
- Input into the proposed management order
- Tribunal documentation
- Hearing preparation
This is work as a proposed manager. It is not legal representation: we are not solicitors and we do not advise on the legal merits of an application.
Initial mobilisation
Taking over a Section 24 block involves one-off work that is not part of routine annual management. We disclose a fixed mobilisation sum before nomination rather than assuming it is covered by the annual fee. It typically covers:
- Obtaining records from the outgoing party
- Establishing management and accounting systems
- Initial site and compliance review
- Setting up the banking arrangements required by the order
- Reviewing outstanding creditors and debtors
- Reviewing service charge arrears
- Contractor handover
- Insurance review
- Communicating with residents
- The initial budget and financial review
Exceptional work outside routine management
Some appointments involve substantial work beyond ordinary management. Where the management order permits it, that work is charged at £95 per hour, with Tribunal or hearing attendance at £450 for a half day and £750 for a full day. Examples include:
- Reconstruction of historic accounts
- Pursuing missing funds or records
- Extensive arrears recovery administration
- Tribunal and hearing attendance
- Additional reports required by the management order
- Major works
- Section 20 consultation
- Substantial historic compliance remediation
- Extraordinary meetings
- Complex disputes
- Work caused by obstruction or non-cooperation
- Extensive lease and document review
An appointed manager cannot simply decide after appointment to charge what it wishes. Any additional remuneration must be consistent with the management order and the arrangements the Tribunal has approved.
The management order matters
A Tribunal-appointed manager does not act under a normal commercial management agreement. The Tribunal's management order defines the manager's functions, powers, responsibilities, reporting requirements, the duration of the appointment and the remuneration or additional fees payable. Applicants should understand the proposed order before appointment.
A management order cannot transfer functions that legislation reserves to another person. In particular, Accountable Person and Principal Accountable Person duties for a higher-risk building under Part 4 of the Building Safety Act 2022 remain with the person the legislation identifies, and cannot be assumed by an appointed manager simply because an order is made.
If circumstances change materially after appointment, or the order does not provide adequate remuneration for unforeseen work, the proper route is an application to the First-tier Tribunal to vary the order under Section 24(9) of the Landlord and Tenant Act 1987, using the Tribunal's Leasehold 2 application form. Variation is a matter for the Tribunal and is not automatic.
Why Tribunal-appointed management can cost more
Not every Section 24 block is dysfunctional, but appointments usually follow a period of serious management problems. Depending on the case, a manager may inherit:
- Incomplete records
- Accounting problems
- Service charge arrears
- Compliance failures
- Unresolved maintenance
- Major works
- Disputes
- Poor contractor records
- Missing funds or information
- Difficult handovers
- Reporting obligations under the order
The proposed annual remuneration therefore depends on the number of homes, building complexity, the state of the records, arrears, historic accounting problems, compliance issues, major works, disputes, staffing, commercial units and the functions the proposed management order requires the manager to perform.
What we do, and what we do not do, before appointment
Our role as proposed manager
- Consider whether we are willing to act
- Review the management information provided
- Discuss the proposed management approach
- Provide our credentials
- Provide our proposed remuneration
- Contribute information for a proposed management plan or order
- Attend where agreed and appropriately remunerated
What we do not do
- - Act as your solicitor
- - Advise on the legal merits of an application
- - Draft legal pleadings
- - Guarantee that an appointment will be made
- - Guarantee that the Tribunal will accept the proposed fees
East Valley Block Management Ltd is a member of the Property Redress Scheme (PRS054254) and holds £1 million professional indemnity cover. We take no commissions from contractors, building insurance or communal utility supply. Service charge funds are held in accounts in the name of the relevant client entity or as the management order requires.
Also useful: changing managing agent, the handover checklist, service charge management and how to choose a block managing agent.
Frequently Asked Questions
Related reading: Section 22 notices explained and problems with your managing agent. If the building is already managed by an RTM company, see can leaseholders apply for a Section 24 manager when there is already an RTM company?.
Think Your Building Needs an Independent Manager?
Send us the details and we will carry out a free initial case screening. If a detailed assessment is needed before we can agree to be nominated, we will quote a fixed fee first.