Changing Block Managers? Here’s What to Get in Order Before You Hand in Your Notice

Deciding to change managing agents can feel like a big step.

Perhaps communication has gradually deteriorated or maintenance takes too long. Maybe your service charge accounts lack transparency. Or you simply feel your managing agent could do a better job for your building.

Once you decide to move, you may want to hand in your notice straight away. However, a little preparation can make the handover considerably easier.

Start by understanding your current contract. Then, get a clear picture of the building’s finances and compliance position. Knowing what your current agent needs to transfer can help you avoid delays, missing records and confusion later on.

Here’s what to think about before making the switch.

Before doing anything else, dig out the agreement you have with your current managing agent.

Check exactly what it says about ending the relationship, including the notice period, termination clauses and any specific steps you need to follow when giving notice.

Don’t assume that simply sending an email is enough. Follow the process outlined in your agreement, keep a written record of your notice and confirm the date your existing agent will stop managing the building.

It’s a relatively simple first step, but getting it wrong can make the transition unnecessarily complicated before it even begins.

Finances are one of the most important parts of any block management handover.

Your new managing agent needs to understand the financial position of the building from day one, so it’s worth making sure the accounts are as organised and up to date as possible. That includes current service charge accounts and budgets, bank account information, details of reserve or sinking funds, outstanding invoices and information about any service charge or ground rent arrears.

Account for Upcoming Costs

You should also have clarity around money that has already been committed to upcoming works or contractor payments. The aim is to avoid a situation where the new agent takes over without knowing what money is available, what has already been spent or which payments are due next.

A clean financial handover makes it much easier to maintain continuity for leaseholders and contractors alike.

Compliance is another area where gaps in information can cause problems very quickly.

Before the handover, establish what checks have been completed, when they were carried out and when anything is next due.

Depending on the building, records may include fire risk assessments, electrical inspections, asbestos surveys, water hygiene or Legionella assessments, lift inspections and other relevant health and safety documentation. Building insurance information should also be readily available, including the current policy and any relevant valuations or claims information.

Identify Any Gaps Before the Handover

The important thing here isn’t simply having a folder labelled “compliance”. Your incoming managing agent needs enough information to understand the building’s current position and identify what needs attention next.

If something is missing or overdue, identifying that before the transition means it can be dealt with rather than disappearing into the handover.

Over years of managing a block, a surprisingly large amount of information can accumulate.

Your incoming agent will need access to the documents that explain how the building operates and what has happened previously. This could include leases, title information, management company documents, contractor agreements, warranties and guarantees, maintenance records, insurance documents and correspondence relating to previous or planned major works.

Minutes from AGMs and directors’ meetings can also provide valuable context, particularly where decisions have already been made about future expenditure or works. The more complete the record, the less time your new agent has to spend trying to piece together the history of the building after taking over.

A handover shouldn’t only cover what has already happened. Your new agent also needs to know what is happening now.

Are contractors currently carrying out repairs? Are quotes being obtained for future works? Has a Section 20 consultation begun? Are there outstanding insurance claims or unresolved maintenance issues? These details can easily become lost when responsibility changes hands.

Creating a clear record of ongoing works, outstanding actions and important deadlines gives the new management team a much better chance of picking things up without disruption. It also helps avoid leaseholders having to explain the same problems all over again after the switch.

Cleaners, gardeners, lift engineers, electricians, fire safety specialists and general maintenance contractors may all be involved in keeping a block running.

Your incoming agent will need to know who currently provides these services, what contracts are in place and when agreements are due for renewal. This doesn’t necessarily mean every existing contractor will continue under the new management arrangement. In fact, changing agents can provide a useful opportunity to review suppliers and value for money.

Understanding the existing arrangements first allows those decisions to be made properly rather than starting from scratch.

The building might stay the same, but the people managing it are changing, so good communication is essential.

Make sure contact information for leaseholders, directors and other relevant parties is accurate and up to date, and establish how residents will be told about the change. They should know when the new agent is taking over, who to contact from that point onwards and whether anything is changing in relation to service charge payments, maintenance reporting or emergencies.

A clear introduction to the new arrangements can prevent a lot of unnecessary confusion.

Perhaps most importantly, establish who will actually coordinate everything.

Changing managing agents involves a lot of information, and you shouldn’t have to personally chase every certificate, invoice and contractor agreement yourself.

At Brompton Block Management, when a client chooses to move to us, we liaise with their existing managing agent on their behalf and work to get the necessary documents and records transferred in good order.

Having someone take ownership of that process can make the difference between a disjointed changeover and a smooth one.

Changing block managers isn’t simply about ending one relationship and beginning another.

It’s an opportunity to understand exactly where your building stands, identify any gaps that need addressing and give your incoming management team the information they need to start effectively.

The better prepared the handover, the easier it is for your new managing agent to get to work from day one – and for leaseholders to start seeing the benefits of the change.