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You are here: Home / News / Cladding scandal / Brokenshire wrongly says freeholders have paid for Grenfell cladding removal

Brokenshire wrongly says freeholders have paid for Grenfell cladding removal

November 6, 2018 //  by Sebastian O'Kelly

James Brokenshire needs to understand that only one freeholder has undertaken to pay up to remove Grenfell cladding (Legal and General). The rest have been undertakings from developers

Communities Secretary James Brokenshire told the Commons yesterday that freeholders had paid up to remove Grenfell cladding from private blocks.

He was replying to a parliamentary question from Hilary Benn concerning astronomic Grenfell cladding costs at Saxton and Skyline Apartments in his Leeds constituency.

Mr Brokenshire should understand that the developers who have paid up – such as Barratt and Bellway – have done so at sites where they no longer own the freehold.

For example, Bellway is paying to remove the cladding at New Festival Quarter, where the freehold is owned by Adriatic Land 6 (GR1) Limited, part of the Long Harbour fund, where ultimate beneficial ownership is hidden behind nominee directors.

Similarly, Barratt is paying up at Citiscape in Croydon, which it completed in 2002, although the freehold is owned by the Tchenguiz Family Trust in the British Virgin Islands.

Taylor Wimpey has undertaken to replace cladding at Glasgow Harbour, but there is no third party freehold owner in Scotland, which does not have the leasehold system.

Mr Brokenshire COULD have referenced Legal and General, the freeholder at the Blenheim Centre / Reflexion site in Hounslow, which is picking up a £12 million tab.

Blenheim Centre flat owners to be spared £20,000-30,000 each on Grenfell cladding bill, Legal & General tells LKP

That’s the only freeholder – as opposed to developer – which is paying up.

Mr Benn said leaseholders are being asked to pay between £10,000 and £28,000 for each leaseholder at  Skyline Apartments, and the total cost of replacing the cladding in the Saxton development could be as high as £8 million.

Mr Benn said: “Given that my constituents are being asked to pay money that they do not have to deal with a problem that they did not create, when will the Government stop urging freeholders not to charge leaseholders and actually prevent them from doing so by law?

Mr Brokenshire replied:

“We have taken several steps and put significant pressure on the industry, and that is starting to have an impact as many freeholders take the necessary steps to make buildings safe without passing on the costs to leaseholders, who should not bear them. I am happy to consider the right hon. Gentleman’s specific examples, because we are in direct contact with several different agencies, and indeed with local government about taking enforcement action, to see that work is done.”

Related posts:

Paddington Walk leaseholders have paid £3.5m to remove Grenfell cladding, with more to come … MHCLG ‘fundamentally flawed’ in expecting freeholders to pay for Grenfell cladding removal, LKP tells the FT Brokenshire announces £200m Grenfell cladding removal fund – hours after APPG meeting of leaseholders Tchenguiz group dismisses government ‘hollow threat’ to make freeholders pay for Grenfell cladding removal Brokenshire tells freeholders to pay up to remove Grenfell cladding. But how can that work?

Category: Cladding scandal, Latest News, News, ParliamentTag: Bellway, Hilary Benn MP, James Brokenshire MP, Legal and General, Saxton, Skyline Apartments, Taylor Wimpey

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Anthony Essien (34) APPG (44) ARMA (91) Benjamin Mire (32) Cladding scandal (71) Clive Betts MP (33) CMA (46) Commonhold (56) Competition and Markets Authority (42) Countryside Properties plc (33) FirstPort (55) Grenfell cladding (56) Ground rents (55) Israel Moskovitz (32) James Brokenshire MP (31) Jim Fitzpatrick (36) Jim Fitzpatrick MP (31) Justin Bates (41) Justin Madders MP (75) Katie Kendrick (41) Law Commission (61) LEASE (68) Leasehold Advisory Service (65) Leasehold houses (32) Liam Spender (39) Long Harbour (51) Lord Greenhalgh (32) Martin Boyd (87) McCarthy and Stone (43) National Leasehold Campaign (42) Persimmon (49) Peverel (61) Property tribunal (49) Retirement (38) Robert Jenrick (33) Roger Southam (47) Sajid Javid (38) Sebastian O’Kelly (67) Sir Peter Bottomley (211) Taylor Wimpey (106) Tchenguiz (33) The Guardian (33) The Times (34) Vincent Tchenguiz (45) Waking watch contracts (40)
Previous Post: « Brokenshire to meet house builders and freehold investors … but no leaseholders
Next Post: ‘Uncharitable’ Mary Magdalene and Holy Jesus Trust and the issue of lease extensions »

Reader Interactions

Comments

  1. Chris

    November 7, 2018 at 4:47 pm

    Is Brokenshire an idiot? Surely he must be aware of the facts and the tribunal proceedings where leaseholders have been found liable for the removal of cladding? It`s widely known the the rare cases of cladding removal have been initiated by the developers.
    This government isn’t listening. Keep up the pressure LKP. You are exposing the weakness of the monopolistic arguments bit by bit.

  2. Nicholas

    November 7, 2018 at 7:29 pm

    How is Mr Brokenshire allowed to get away with telling porkies like that? Or is he just a bit dim?

  3. Cathy

    December 9, 2018 at 10:49 pm

    Isnt the right thing to do to simply pass legislation allowing home owners to vote and decide on work and maintenance needed on their block Mr Brokenshire? It is called COMMONHOLD by the way;; Commonhold = common sense!

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