LEASEHOLDERS have won their battle against a housing association which demanded a “ridiculous” amount of money for an intercom system.

Leaseholders at six blocks of flats in Tylney Road, Bromley, were furious when Broomleigh Housing Association ordered them to each pay around £2,600 for a new intercom door entry system.

Ann Collins, who was told to pay £2,615 towards the £13,059 for the system in her block of six flats, and 11 others applied to the Leasehold Valuation Tribunal (LVT) to have the amount reduced.

Now LVT, which arbitrates on disputes between leaseholders and landlords, has found that Broomleigh made a catalogue of mistakes and has ruled in the leaseholders’ favour.

Leasehold Valuation Tribunal ruling:

- Broomleigh ordered to drop charge per leaseholder for intercom system from around £2,600 to £250.

- Broomleigh failed to tell leaseholders the £2,600 would cover new communal doors, handrails and ramps.

- Broomleigh ignored a leaseholder’s letter saying another contractor could install the intercom system for more than £10,000 cheaper than the housing association’s planned charge for each block of flats.

- The intercom system should cost no more than £3,185.22 per block of flats – almost £10,000 cheaper than the amount Broomleigh planned to charge leaseholders.

- Broomleigh’s proposed new communal doors were too expensive and the handrails and ramps unnecessary.

- Broomleigh must reimburse the leaseholders the £500 they paid to apply for the LVT hearing.

Broomleigh's failures:

Broomleigh was ordered to only charge £250 per leaseholder because it failed to tell residents the amount it originally asked for would also cover installation of new communal front doors, handrails and ramps.

Leaseholder Marjorie Sinclair, aged 90, who has lived in Tylney Road for 60 years, said: “It was ridiculous and disgusting the amount Broomleigh asked for.

“I’m so glad we won at the tribunal, because it would have been outrageous to pay so much for the intercom system.”

LVT found that Broomleigh’s consultation period over the intercom was invalid because it failed to consider a leaseholder’s submission that an alternative contractor could install the system for just £2,235 per block of flats.

LVT also found that the new front doors proposed by Broomleigh were unreasonably expensive and the handrails and ramps were unnecessary.

Consequently LVT ruled that Broomleigh should have charged no more than £3,185.22 per block of flats for the intercom system.

LVT also ordered Broomleigh to pay Miss Collins and the 11 other leaseholders a total of £500, which was the fee they paid to apply for the tribunal.

Broomleigh's response

Brian Eaton, head of leasehold services for Affinity Sutton, which runs Broomleigh, said: “We are obviously very disappointed with the tribunal’s decision.

“As a business for social purpose, transparency and value for money are at the heart of what we do.

“Our decision to install a door entry system was directly in response to residents’ requests for improved security.

"We would like to make clear that we do not make any profit from these charges and carried out consultation which we believed was correct and in accordance with the Commonhold and Leasehold Reform Act.

"We have decided after full consideration not to appeal the decision.

“We have taken on board the comments from the tribunal and will be addressing these going forward.”