Section 20/Major Works Explained
What are section 20/major works?
Section 20 or also commonly known as major works are large-scale building projects such as communal redecoration or installing new communal gates. These are performed to keep the block/development maintained and functioning correctly.
What is the section 20 procedure?
“A S20 consultation must be carried out if any one leaseholder’s contribution to the work is estimated to, or does, exceed £250. When calculating the estimated cost, VAT and any consultants’ fees must be included.” – ARMA (The Association of Residential Managing Agents)
Each stage of the section 20:
- Notice of Intention – First Notice
A notice will be served setting out what works we propose to undertake and why they need doing. At this stage you can ask questions, make comments and nominate a contractor.
- Statement and Notice of Estimates – Second Notice
Once estimates have been obtained for the works, a second notice will be served to all leaseholders with the estimates where you will be able to make comments. We will consider all comments and observations made be leaseholders and we always take note of these before making a decision.
- Notice of Reasons – Last Notice
Once the contract has been awarded, (when applicable) we will send a notice to all leaseholders if the cheapest estimate or a contractor nominated by the leaseholders has not been chosen.
How long does the section 20 take?
For the stages ‘Notice of Intention’ and ‘Statement and Notice of Estimates’, leaseholders are allowed 30 days to reply with any comments. Any comments or nominations made after the 30 days will not be considered as they fall outside of the allocated time period in which these are to be made.