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Unfair Rent

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inicholson | 18:40 Fri 08th Sep 2006 | Business & Finance
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My mother owns a flat at a McCarthy & Stone development where all of the flat owners pay a portion of the rent for the wardens flat.
They have reveiwed the service charge and the wardens flat is being charged at over �14k per annum (even in the centre of Newcastle the penthouse apartments are renting at �9k!!)
The owners of the development have refused to drop the rent. Could anyone suggest what we could do next??
Thanks
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Has your mother signed an agreement that states what the rent will be or that states that McCarthy & Stone can set it at whatever they want to? The first step will be to look at the contract/agreement and see what rights that gives the developer. It may state something along the lines of "a reasonable service charge" In which case it goes down to what anyone's definition of reasonable is. It could be argued that given the comparable properties in the area that this is not reasonable. Good luck.
Are you sure that this does not cover all running costs, wardens salary, garden maintenance, cleaning and lighting of communal areas etc?
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Yes, the flat rent is seperate. On top of that they have teh wardens salary etc, which is OK. It's just ths very high rent

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