Leaseholders at Admiral Court in Croydon have been without gas, hot water and heating for more than six months. After earlier coverage, some residents say they were abruptly told by the freeholder's representative to pay a full year's service charge within hours or face forfeiture, with up to £1,000 added as a "debt collection" fee. Legal experts say repossession within days is unlikely and that tenants can challenge charges at the First-tier Property Tribunal.
Croydon Leaseholders Told To Pay Or Face Repossession After Months Without Hot Water
George Ainsworth, whose wife is recovering from major surgery, has been washing out of a tub filled with hot water from kettles for months [BBC]
Residents of Admiral Court in Croydon say they have been left without gas, hot water and heating for more than six months and were recently told they must pay a full year’s service charge immediately or face forfeiture of their flats.
About 19 leaseholders in one of the three-block development say the gas supply was cut on 4 March after what officials described as "potentially dangerous leaks." Residents report the responsibility for remedial work has been caught up in layers of bureaucracy between developers, managing agents and the freeholder.
Sudden Demands And Added Fees
Following earlier media coverage, some leaseholders received an email from Grangeford Asset Management — which represents the freeholder — demanding payment of the entire year's service charge in a single lump sum, despite existing monthly payment arrangements with the managing agents.
One-bedroom flats in Admiral Court, which comprises three blocks, typically sold for up to £315,000 in 2025 - and at a loss of around £100,000 [BBC]
Residents say the emails gave less than a day to pay and warned that, if they did not, "the landlord will begin forfeiture proceedings to repossess your property." Several people reported an extra charge labelled as a "debt collection fee" of up to £1,000 added to their accounts; one resident said he found a demand for £3,918 in his junk folder with just hours to respond.
"They gave us six hours to pay it," said George Ainsworth, 31. "We've just been paying our service charges monthly, as we agreed with the managing agents, and out of nowhere the freeholder's just taken over on recovering service charge and demanded it all in one go with a £1,000 fee on top."
Legal Context And Advice
Legal experts say immediate repossession is unlikely. Russell Conway, senior partner at Oliver Fisher Solicitors, told the BBC that forfeiture of a lease for unpaid service charges is "exceptionally complex" and, if contested, can take many months or longer. He said a freeholder must first show the charges are reasonable and due — often by applying to the First-tier Property Tribunal — before forfeiture can proceed.
Conway also questioned the size of the collection fees: "A demand for £1,000 for collection charges seems awfully high, frankly, because a lot of debt collection agencies work on much lower charges. Anyone faced with that sort of charge should immediately challenge it. You can do it online at the first-tier tribunal, and you can challenge that aspect of the service charge."
George and his wife have been washing using a bucket in a bathtub for several months [BBC]
Human Impact
Residents describe being forced to use kettles to heat water and wash from a bucket in their baths. One tenant said his wife, who is recovering from major surgery, has had to wash using water boiled on the stove. Others described the demands as "bullying tactics," and although some tenants have paid out of fear, many dispute the sums and say the notices push them further into debt.
Background And Ongoing Disputes
The original developer of the 2019 block, UK Land Assets, has entered liquidation. The freeholder is pursuing legal action against firms it says are "associated" with the original developer to recover the costs of remedial works, a move residents say may explain the sudden push to recover funds.
Property data show one-bedroom flats in Admiral Court typically sold for up to around £315,000 in 2025, with values down roughly £100,000 in some cases. Residents also say service charges have risen sharply — from roughly £1,200 in the first year to about £3,500 now.
What Residents Can Do
If you are affected: keep all correspondence; challenge any disputed charges in writing; seek independent advice from Citizens Advice or a housing solicitor; and consider making an application to the First-tier Property Tribunal to dispute service charges or collection fees. Contacting your local councillor or MP may also help escalate safety and welfare concerns while repairs are unresolved.
Warwick Estates, which usually collects service charges for the development, said it was "not part of the decision-making process in question here" and referred queries to the freeholder. Grangeford Asset Management did not respond to multiple requests for comment.
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