News about Lauderdale Mansions South
Loft sales put on hold
8 Jan 2010
The Lauderdale Mansions South board has decided to delay selling any loft spaces until either the property market recovers, or the company needs to raise extra money.
The decision came after a consultation with LMS shareholders, which showed that most flat owners did not want any lofts sold off - at least for the time being.
A valuation commissioned last year by the Board, which runs the freehold company for the building, showed that the loft spaces could be worth up to £5.4 million, equivalent to £38,000 for each flat owner in the building.
In a letter to shareholders, board chairman Angus Stewart said of the consultation exercise: "It was obvious from the responses that many of you had given detailed and careful thought to the matter."
He added: "The overwhelming consensus is that there seems little merit in disposing of company assets in circumstances where the general property market is depressed and where the company has no immediate need for the funds."
Mr Stewart said that current estimates for the cost of the planned upgrade of the water supply in the building indicated that the programme could be funded out of "existing/projected resources".
Top floor owners launch lofts PR push
07 Jul 09
Six top floor flat owners in Lauderdale Mansions South have launched a PR campaign to persuade their neighbours to let them buy the lofts above their properties.
Last month it was revealed that the 23 loft voids in the building have been valued at up to £5.4 million at today's prices - if sold to the existing top floor flat owners below.
This would be equivalent to a windfall pre-tax gain of more than £38,000 for each of the 141 shareholders in LMS. Most flat owners would also see a reduction in their service charges because the new loft owners would make an extra contribution.
However it is not known if the loft voids could be worth even more than £5.4 million if sold on the open market as separate flats.
The Board has said it has taken a "policy decision" not to offer the lofts for sale as separate flats - but has so far not explained why.
The loft spaces are owned by the freeholder Lauderdale Mansions South. Under the company's constitution, any sale of assets worth more than £5000 must be formally approved by shareholders.
Now, in a letter sent to all shareholders, a group of top floor flat owners have asked their neighbours to persuade the board to consider "in principle" the sale of loft spaces, "urge the board to work, constructively, with interested parties to look at a potential agreement to be presented to shareholders", and "ask the board to report to shareholders within a reasonable time".
They added: "We welcome feedback and invite our fellow shareholders to discuss the topic with any one of us."
Two of the six signatories of the letter - Trefor Jones and Mark Beacham - are directors of LMS. Another, Jean-Philippe Verdier, is chairman of the LMS elections committee.
The name of a third LMS director, Naim Sheikh, was also added to the bottom of the letter in brackets. But Mr Sheikh, who owns a top floor flat, said later that he had not seen the letter to shareholders, and he had not agreed to the contents.
The LMS board is now split between the three directors who own top floor flats - and who as buyers would have an interest in the loft spaces being sold as cheaply as possible - and four other directors who do not own top floor flats.
The four non-conflicted directors are Matthew Brettler, Stephen Sanderson, Angus Stewart (chairman) and Jayne Winthrop.
Mr Jones said he had not taken part in any board discussions about lofts, and had not "influenced [any decisions about lofts] to a greater extent than any other shareholder". He also said he had declared his conflict of interest in a nomination notice to shareholders before being appointed to the Board.
LMS board chairman Angus Stewart has not responded to requests by Lauderdale Life to explain the board's policy on loft sales. Nor has he revealed if the board has sought valuations for the loft spaces as separate flats.
In their arguments in favour of selling the lofts now, the six top floor flat owners say that "leasing out an undeveloped loft void achieves both one-off and ongoing financial returns to shareholders, at no cost, and with no loss of quality of life for shareholders".
They add: "Shareholders may welcome receiving a lump sum payment (at least £6000/ flat - c. 2 years of average service charges!) and enjoying a further ongoing reduction of service charge, in particular in the presently harsh economic environment and without depleting the sinking fund or affecting the company's ability to invest."
Lofts worth up £5.4 million, confirm valuers
17 Jun 09
Empty loft spaces in Lauderdale Mansions South have been valued at between £3 and £5.4 million, it has been revealed.
But the LMS Board has decided not to allow developers to turn the lofts into separate flats - even though it has been advised that planning permission would probably be granted.
There are thought to be 23 loft "voids" above top floor flats in the Lauderdale Mansions South building.
Of the seven current LMS directors, two - Mark Beacham and Trefor Jones - own a top floor flat with an undeveloped loft above.
Valuations by surveyors employed by the company indicate that each loft void, with use of the roof terrace behind it, is worth £130,000 to £235,000 when added to the flat below.
The surveyors valued the loft spaces by estimating the current sale price of an extended and converted top floor flat. Then they deducted the conversion cost; an amount to reflect the time and disruption of the conversion; and the current value of the undeveloped flat.
So far five top floor flat owners have said they are interested in buying a loft space and use of the roof terrace. But only one has made a firm offer - £60,000.
The combined floor space of a loft void and roof terrace is almost the same size as the flat below it. One such extended flat is currently on the market for £1.095 million.
The valuations were revealed in a letter sent to shareholders by LMS Board chairman Angus Stewart, in which he asked for shareholders' views about whether to sell the lofts and, if so, how many and at what price.
All flat owners in LMS own a share in Lauderdale Mansions (South) which, through a subsidiary company, owns the freehold of the building.
In the letter, dated 15 June, Mr Stuart said the arguments in favour of selling lofts at this time included: realising the value of dormant assets; increased service charge income, which could reduce service charges for other flats owners; and increasing the company's sinking fund to cover major capital costs.
The arguments against selling lofts now he said included: it may not be the best time to sell property assets after recent market falls; there is no current need for the cash; the sale would create a capital gains tax liability; the money might get spent on "nice to have" rather than essential improvements to the building and gardens; and the money might be needed later for essential repairs or changes required by law, such as for health and safety.
Mr Stuart said that there was no "right" to buy the loft voids, which are owned by the freehold company.
He added: "We have attempted to present both sides of the argument and have tried to be open with all our shareholders regarding the situation."
Live music at summer garden party
17 Jun 09
Live music and face painting for children are planned for this year’s summer picnic and barbecue in the gardens at Lauderdale Mansions South.
The event will be held on Sunday 28 June from 1pm-5pm. If it rains on that day, the event will be postponed to Sunday 5 July.
The music will start at 2pm, although the name of the band has yet to be announced.
Residents are asked to bring their own food, and the LMS social committee will provide the barbecues.
As in previous years there will also be a Dessert Table, for which residents are encouraged to donate a cake.
Loft sales could net million pound windfall for flat owners
04 May 09
Flat owners in Lauderdale Mansions South could soon benefit from a windfall gain worth hundreds of thousands, or even millions, of pounds from the sale of lofts.
Last year Lauderdale Mansions (South), the freehold company which owns the lofts in the building, was advised that it was likely that planning permission would be granted to convert the spaces into stand-alone flats with their own front door.
This would dramatically increase the value of the loft spaces as they could be sold to developers on the open market.
Now the LMS board has received some valuations for the lofts and had some preliminary discussions with interested buyers. The Board has not revealed the size of the valuations it has received, but has admitted that they are "quite varied".
An announcement to shareholders is due to be made within the next few weeks.
There are thought to be 23 top floor flats in the building with undeveloped loft spaces above them. The size of the spaces vary, but most are about half the size of a typical Lauderdale Mansions flat.
If planning permission were granted for both loft spaces in a single block, a new flat could be created, with an internal floor space of about 850-950 square feet plus two roof terraces with a total area of approximately another 900 square feet. Other flats of about half this size could also be created.
Currently there are two Lauderdale Mansions South flats for sale with floor areas of about 965 and 1030 square feet. Their asking prices are £575,000 and £699,950 respectively. Meanwhile a 1439 square foot top floor flat with roof terrace is on the market for £1.095 million.
It is estimated therefore that, even with development costs of up to £200,000 per finished flat, the freehold company could net a profit of at least £150,000-£300,000 from each loft space.
All owners of the 141 flats in Lauderdale Mansions South have a share in the freehold company Lauderdale Mansions (South).
Under the company's articles of association, any asset sale worth more than £5000 by the freehold company must be formally approved by the shareholders. The proceeds of the asset sales would also be subject to capital gains tax.
Wine and cheese party
09 Apr 09
Flat owners have been invited to a wine and cheese party to meet the two new directors of the LMS board, Mark Beacham and Naim Sheikh.
The party will be held at 7.30pm on Thursday 23 April in the Boiler House in the garden.
Mr Beecham and Mr Sheikh will be formally appointed at the AGM on 13 May. Mr Beacham is a chartered accountant, and Mr Sheikh a medical electronics entrepreneur.
Net assets rise 13% to £177,546
07 Apr 09
Lauderdale Mansions (South)'s net assets rose by £20,150 to @£177,546, but cash fell by £42,442 to £263,148, the company's latest annual report and accounts show.
The year end also saw a large decrease in provisions made by the company at its year-end for planned and routine expenditure from £125,186 to £80,406.
According to board chairman Angus Stewart, the company's 28 September year-end marked the end of a five-year major maintenance programme.
Completed maintenance work in the 2007-2008 financial year included the restoration of the external and inner light wells, completion of the garden development, upgrading of the basement lighting, refurbishment of the cellars, repairs to the rear elevations and the creation of a lockable bike storage room.
Work planned for the current financial year includes repairing the front porches and steps, repairing the internal hallways, renovating the storage rooms, cellar floors and steps to the basements, installing cycle ramps at the front of the building and installing low-level lighting along the rear pathway, he said.
"The directors welcome input from all shareholders and continue to seek the involvement of all interested parties, either on the Board itself or through working parties and social events," said Mr Stewart.
Freehold property owned by the company through its subsidiary Manyplans includes a basement flat used by the resident porter, basement storage areas, loft voids and the communal garden.
Manyplans' assets were included in the accounts at zero cost "although the directors are of the opinion that these assets have value in excess of this", said company secretary Ann Eardley in the report.
Service charge arrears continue to be less than 1% of the service charge demand, she added.
Pre-tax profits for Manyplans rose by £4231 to £25,247.
Total income for the freehold subsidiary rose to £29,617, compared with £23,312 in 2007, with the company benefiting from an increase in storage rental income from £16,237 to £19,018 and extra licence fees of £3524.
Meanwhile total costs for Manyplans rose by £2072 to £4370, partly due to an extra charge for legal and professional fees of £1293.
The company was unable to provide a breakdown of Manyplans' extra licence fees, or the legal and professional fees paid.
New directors join board
30 Mar 09
A chartered accountant and a medical electronics entrepreneur will join the LMS board in May, bringing the total number of directors back up to seven.
Mark Beacham has six years' experience as a tax consultant at accountancy firm PriceWaterhouseCoopers, and one year's experience with the investment bank Goldman Sachs in the area of tax and executive compensation.
Mr Beacham said there were no specific areas of change or development for LMS that he wished to address, but would be "happy to work with the Board on any, and all, current issues, and address any future issues other shareholders, or the Board, think appropriate for consideration".
Naim Sheikh, who is about to launch his own medical electronics business, said his motivation for joining the LMS board was "continual improvement of our environment, providing a good level of service from our management company, and participation".
Mr Sheikh, who has previously run a freelance embedded engineering service, added that he was particularly interested in being involved with water supply, energy management and cycle storage.
The appointments come after the recent directors' elections process in which three candidates stood for the three vacant positions on the board.
Current LMS board chairman Angus Stewart was the third candidate in the election. Mr Stewart, who was first elected to the board in 2002, said that he wanted to continue the company's plan to improve the water supply system while also "continuing the current maintenance plans".
Mr Stewart owns and runs E-Solutions & Services UK, an IT business specialising in fraud and compliance solutions for financial services companies, government bodies and utility companies.
Srjdjan Vlaskalic, who joined the Board in October 2006, decided not to put himself forward for re-election.
The other four members of the board are Matthew Brettler, Trefor Jones, Stephen Sanderson and Jayne Winthrop.
AGM date agreed
21 Jan 09
The next AGM for Lauderdale Mansions South Ltd will be on 13 May, the Board agreed at its January meeting.
Directors' elections papers will be sent to shareholders in about two weeks time so that the results can be announced before the AGM, said company secretary Ann Eardley.
Water upgrade may cost £600k
21 Jan 09
The upgrade of Lauderdale Mansions South's water supply could cost around £600,000, with work starting as early as next winter. It follows an informal consultation meeting with shareholders on 15 January which Board chairman Angus Stewart said showed there was support for the project.
"The general view in the room was that we should be doing this, and at the very least we should be preparing for it," Angus told the January Board meeting.
A detailed specification being prepared by water consultant Astec Consultant Services is expected to be finished in about two months' time. Quotations from contractors will then be sought, and an EGM held to gain the formal approval of shareholders.
The Board has estimated the cost of the work could be about £600,000, but has stressed that this is a "ballpark figure" and the exact amount will not be known until tenders are received.
In a letter to leaseholders, the Board said it believed "it should be possible to manage income and expenditure so that shareholders do not have to make a lump sum contribution to this expenditure".
Items left in communal areas may be thrown away
15 Oct 08
Household items left by residents in the common parts may be thrown away without their permission, the Board has agreed as part of new rules for the building.
The company has also reserved the right to charge residents a minimum of £25 to cover the disposal costs.
Notices are to be sent out to residents giving warning of the new policy, the October Board meeting agreed.
Foxes to be culled
17 Sep 08
The foxes in the garden are to be culled if necessary as part of a three-pronged plan to get rid of the animals from the estate.
In its September meeting, the LMS Board heard how neighbouring Castellain Mansions had had three of their foxes culled, but that there was still a major problem of foxes droppings at the western end of the Lauderdale Mansions South garden.
The Board agreed that estate manager Chris Quantrill should:
• Investigate whether trapping and neutering was a possibility
• Arrange a cull of the animals
• Spend up to £1000 to have the garden sprayed with fox deterrent.
Director Jayne Winthrop, who was not present at the meeting, told the board she wished it to be noted she did not support a cull.
Water upgrade plan moves to next stage
20 Aug 08
A detailed survey of the building is to be carried out as part of the planned upgrade of the water supply system.
It follows an initial free report by Henry Eldred, managing director of Astec Consultant Services that looked at how to ensure adequate water pressure could be supplied to all flats in LMS in the foreseeable future and how to replace the old lead mains pipes, which often leak and break.
Director Steve Sanderson told the August Board meeting that if the work is carried out along the lines recommended by Mr Eldred, the work could be phased over two or three years.
In addition to asking Astec Consultants to carry out a detailed survey and proposals, the Board has decided to arrange a consultation meeting with shareholders, as well as write to shareholders to explain why the work is being considered and what is being proposed.
£70,000 surplus forecast for 08/9
20 Aug 08
Lauderdale Mansions (South) Ltd will end the 08/2009 financial year with a £70,000 surplus, company secretary Ann Eardley told the Board at its August meeting.
The major work that started in 2003 to bring the building “up to date” has now been completed, she said. What remained was now a “rolling programme of maintenance”.
The new forecasts should be incorporated into the draft budget for the next financial year, the Board decided.
Rear elevations work ahead of schedule
20 Aug 08
The redecoration of the rear elevations of Lauderdale Mansions South is “well ahead of target” and work on all 15 blocks should be completed by the end of September.
The August Board meeting also heard that the refurbishment of the cellar areas was also “all but complete”. The Board congratulated site manager Rob Davidson for having made good progress.
Abandoned items in basements prompts new rules
20 Aug 08
New formal rules for the building are to be drafted to deal with the problem of items left in the basement areas by residents, the LMS Board has agreed.
It came after the Board received legal advice that residents had no right to store items in the basements, even temporarily.
The new rules will be communicated to all current and prospective flat owners.
Residents to be asked to help with dog patrols of garden
20 Aug 08
Dog-owning LMS residents are to be asked to help scare off the foxes by patrolling the garden with their animals, the Board has decided.
The decision came after estate manager Chris Quantrill said that the deterrent effect of dog patrols was short term, and he had been able to bring his own dog down to the garden only a couple of times since the July Board meeting.
The Board has also decided to write again to residents to ask them not to feed the boxes, and to warn them that if the foxes continued to approach the buildings and be bold around humans, particularly children, “arrangements would be made to have them shot”.
TV reception upgrade to go ahead
16 Jul 08
The TV connection for all flats in Lauderdale Mansions South is to be upgraded to include Freesat, the Board decided at its July meeting. The work will be undertaken by David Worrow Associates.
Residents snap up bike storage places
19 Jun 08
Residents have already reserved 11 of the 17 spaces in the new secure bike storage room, the Board has been told. Another 53 bike hooks have been installed in the basement passageways.
Dog patrols to scare off foxes
19 Jun 08
The garden at Lauderdale Mansions South is to be patrolled up to two times a week by a dog on a leash to scare off the foxes, the Board has decided.
It came after the Board received a report at its June meeting from John Bryant of Humane Urban Wildlife Deterrence who said that foxes presented no danger to humans of any age, there is no known case of foxes passing on disease to humans, and that foxes are territorial and the current litters would move on as soon as they were old enough.
Mr Bryant said the first step to making the garden a less attractive place for foxes was to stop feeding them. A second step was a regular leashed dog patrol round the grounds because foxes could not ignore dogs or dog scent.
It was agreed that site manager Rob Davidson and estate manager Chris Quantrill should walk their dogs around the grounds once or twice a week.
All 15 rear elevations 'to be completed by September'
21 May 08
Lauderdale Mansions South’s maintenance team should try to complete the redecoration of all 15 rear elevations by September, instead of the eight as originally planned, the May Board meeting decided.
Site manager Rob Davidson has been asked to prepare an estimate of what the extra cost will be.
Water supply consultants appointed
17 Apr 08
Inner light wells redecoration finished early
17 Apr 08
Board chairman Angus Stewart said site manager Rob Davidson should be “commended for the relatively small overspend” on the project, much of which was due to the increase in scaffolding costs.
Bike storage
17 Apr 08
The new lockable storage unit for bikes in Block 17 (Flats 153-169) has been finished, the April LMS Board meeting heard.
There will be space for 17 bikes, and residents will be invited to apply for a key as soon as the locks are installed and the keys available.
Fox to be removed from garden
17 Apr 08
The resident fox in the garden of Lauderdale Mansions South should be 'relocated in a humane way', the Board decided in its April meeting.
The Board was told that some residents were still feeding the fox, despite being asked not to. The fox, which was born in the garden, has become particularly bold, and is not deterred by humans until they are very close.
It was decided that site manager Rob Davidson should contact the National Fox Welfare Society for help in moving the fox.
Mother and Baby group meeting held
19 Mar 08
A mother and baby group meeting was held for the first time on 13 March, the March Board meeting heard. The event was organised by the Lauderdale Mansions South social committee.
However, the planned wine tasting evening on 18 March was cancelled at the last minute due to lack of interest.
Foxes warning
19 Mar 08
Estate manager Chris Quantrill is to send a letter to residents reminding them not to feed the foxes.
It came after the LMS Board heard at its March meeting that foxes were coming out into the open part of the garden much more frequently, and were much bolder than they used to be. A resident has written to the board to complain as he feared for the safety of his young son.
Wine tasting, summer barbecue and bonfire night dates
20 Feb 08
A wine tasting evening is being planned by the LMS social committee on 18 March at 7pm in the Boiler House, the February Board meeting heard. A notice will be put up on all block noticeboards.
The social committee has also confirmed the date for the summer barbecue as Sunday 22 June at 1-4pm on (or 29 June if it rains), and 1 or 8 November for the Bonfire Night event.
A Ladies with Babies monthly series of social meetings is also planned.
Cleaning not up to scratch
20 Feb 08
The standard of cleaning for the common parts has slipped, estate manager Chris Quantrill told the LMS Board at its February meeting.
The problem is worst in blocks where building work is being carried out, he said.
The Board has asked Chris to investigate whether cleaning standards could be improved. If not, then Chris said he would find three tenders from other contractors.
Lighting for rear pathways
16 Jan 08
The plan to add low-level lights to the rear pathways has taken a step forward with the receipt by the company of a first quote from a supplier, the January meeting of the LMS Board heard.
The quote gave cost of supplying and installing 46 low-level lights with daylight sensors as £11,600. Board chairman Angus Stewart has asked estate manager Chris Quantrill to find some comparative quotes.
Bicycle storage space to be created
16 Jan 08
A secure room in the basements is to be created for residents' bicycles in the basement of Block 17 (Flats 153-169), the LMS Board agreed at its January meeting.
Bike hooks will also be installed in Blocks 19 and 21 (Flats 171-191, and 193-209), the Board has decided.
Residents wanting bike storage will be asked to contact estate manager Chris Quantrill or site manager Rob Davidson.