What Is A Residents’ Association?

Residents' Associations & What "Recognised" Means?

What Is A Residents' Association?

Here at Realty we are often asked “What is a Residents’ Association?” and “What is your stance on Residents Associations?” so we’ve compiled a brief summary.

So What is a Residents’ Association? It is a group of leaseholders, who have been granted leases from the same Landlord on similar terms and include the payment of variable service charges, a chance to maximise the benefits of rights conferred to them under their leases. It makes it possible to get involved and have a say on how the development is managed and maintained and forming or joining a Residents Association (“RA”) is one of best ways to do so.

An RA has considerable consultation rights and the power to request certain information pertaining to the way in which the development is managed once it is ‘recognised’.  A recognised RA is one that has a prescribed constitution that is fair and democratic, and a membership of more than 60% of the block or development.  This is to ensure that the Residents Association represents the majority of leaseholders or homeowners interests.

Typically things Residents Associations get involved in:

  • Increase the sense of belonging to a community;
  • Inform residents of their rights under the law and in particular under the Landlord and Tenant related legislation;
  • Exert pressure on the landlord or his agent to maintain an appropriate standards of decoration and maintenance to the interior and exterior of buildings, and at reasonable costs
  • Establish a relationship with landlord and/or his agent to facilitate good management; represent the needs and views of residents on management issues and report back to the residents the concerns of the landlord/agent
  • Assist in resolving disputes between individual residents
  • Organise opposition to undesirable planning applications
  • Prepare to take on responsibilities of management if transferred by the landlord under the Rights of First Refusal or Right to Manage Legislation or following the purchase by the residents of the landlord’s interest collectively.

Realty actively encourage Residents Associations to be formed and recognised as the interaction between RA and Managing Agent is an effective way to communicate and ensure management policies meet the needs of those living at the development.  For detailed guidance on setting up an RA, get in touch via our contact us page.