Are you a Property Manager or Leaseholder banging your head against a Party Wall?
7 easy steps to understanding the procedures and terminology of the Party Wall etc. 1996.
Step 1
The Party Wall etc. Act 1996 provides a framework for preventing and resolving disputes in relation to party walls, boundary walls and excavations near neighbouring buildings. The person who plans to undertake work that is subject to the Party Wall Act is known as the ‘Building Owner’. Whoever owns a building neighbouring the Building Owner’s property or occupies it with an interest greater than a one year tenancy, is known as the ‘Adjoining Owner’.
In the context of block management and leasehold works, it is important to highlight that there may be a number of adjoining owners within the block, because most walls will be Party Walls one way or another. And not only walls, but floors and ceilings too which are called Party Structures. Most communal areas will also include Party Walls in relation to one or more flats.
Where you/your client may issue a notice
Common types of work where your client or landlord (as the Building Owner) may issue a Notice for repairs to their block include: chimney repairs, roof repairs or renewals, repairs to boundary walls and damp treatment.
Step one is for the Building Owner to appoint a surveyor to prepare and serve the Party Wall Notices. This appointment is termed the ‘Building Owner’s Surveyor’. The Building Owner begins the process by asking a surveyor to review the plans and identify any potential problems before submitting a fee proposal. The Building Owner then formally appoints the surveyor by letter.
Step 2
There are three different basic types of notice, the use of which depends on the particular works. A ‘Party Structure Notice’ is required where works like those mentioned above are being undertaken to an existing Party Wall or Party Structure (e.g. a floor separating two flats). For these types of works, a notice must be served at least two months in advance of the works.
A ‘Line of Junction Notice’ is required where a new party wall or party fence wall is being built astride the boundary, or where a new wall is being built wholly on the land of the Building Owner, but up against the boundary line. Examples could be building a boundary wall, or building a new extension up to or on the boundary. For these types of works, a notice must be served at least one month in advance of the works.
Finally, an ‘Adjacent Excavation’ Notice is required in the instance where works are being undertaken to excavate or excavate and construct foundations for a new building within three metres of a neighbouring owner’s building, but also where the new excavation will go deeper than the neighbour’s foundations. An ‘Adjacent Excavation’ Notice is also required where works are being undertaken to excavate or excavate and construct foundations for a new building within six metres of a neighbouring owner’s building for deep excavations such as piling, where the new excavation will cut a line drawn downwards at 45 degrees from the bottom of the neighbour’s foundations. For these types of works, a notice must also be served at least one month in advance of the works.
The Party Wall Act and Licence to Alter
Quite often, works being undertaken inside flats by leaseholders fall under the Party Wall Act in addition to requiring a Licence to Alter, so it’s important to understand that having the latter does not render the former redundant. The requirement to serve a Party Wall notice is a statutory requirement and the process is entirely separate from the Licence to Alter process.
When a Notice is served by a Building Owner, the Adjoining Owner has 14 days to respond. If they do not respond within 14 days, the Building Owner will serve a 10 day notice requiring them to respond within 10 days. If the Adjoining Owner still does not respond, the Building Owner can go ahead and appoint a surveyor to act on their behalf.
This has important implications for property managers, as if they do not respond within the required time frames, the Building Owner will proceed to appoint a surveyor to act on behalf of the landlord.
Step 3
Step three depends on the Adjoining Owner’s response to the Notice. They can either ‘consent’ to the works and let them proceed without further consultation, or they can ‘dissent’.
The latter does not necessarily mean objecting to the works, but simply appointing a surveyor to oversee the process. This is achieved by either accepting the Building Owner’s surveyor as an ‘Agreed Surveyor’ or appointing a surveyor of their own, termed the ‘Adjoining Owner’s Surveyor’. Except in very exceptional circumstances, all surveyors’ fees are paid by the Building Owner.
Step 4
Step four is an inspection of the adjoining property, whose condition is recorded either by the Agreed Surveyor or the Building Owner’s and Adjoining Owner’s Surveyors. The former will then prepare what’s called a ‘schedule of condition’ of the Adjoining Owner’s property. An accurate schedule is essential so it can be shown that any subsequent damage to the property is a result of the work and not due to pre-existing factors.
Step 5
In step five, the surveyors or Agreed Surveyor prepare a document called a ‘Party Wall Award’ setting out how the work should proceed and the rights and responsibilities of each party. The Award also covers things like access for the surveyor, working hours and what happens in case of damage.
Step 6
Once Party Wall Award document has been signed by all the surveyors concerned, it is finally time for step six: the work can go ahead.
Step 7
Once the work has been completed, step seven is to re-inspect the adjoining building to check for any damage caused by the work. If any damage is found, the matter will be resolved in line with the Party Wall Award document. Typically, the Building Owner’s contractor will carry out repairs or the Adjoining Owner will accept money in lieu of rectifying the damage.
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