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Surveyors Journal

Page 23

voting for OMCs. Anecdotal evidence suggests

practice, were added to the framework of

that this has led to increased attendances at

consumer protection.

AGMs by homeowners. These innovations are due to be made permanent under proposed changes

Sector new entrants

to company law. May 2021 saw The Housing

In the last decade new participants – commercial

Agency and Chartered Accountants Ireland

institutional landlords like REITs and similar funds

publish ‘Owners’ Management Companies: A

– have entered the MUD sector. Approved housing

Concise Guide for Directors’. The guide focuses on

bodies (AHBs) now build or buy homes, many of

10 corporate governance considerations for OMC

which are managed as MUDs. Local authorities

directors. Its purpose is to help directors to

play an increasingly prominent role in MUDs

navigate important matters such as directors’

through arrangements including Part V acquisition,

duties, financial management, outsourcing, and

leasing, and construction. These changes can bring

OMC performance.

complexity and experience to the sector, and to the management of individual estates.

MUDs and planning Standards for New Apartments’ were issued in

Technology, climate action and sustainability

March 2018, and amended in December 2020.

Aside from the switch to virtual meetings brought

Under paragraphs 6.11-6.14, assessments by

about by the pandemic, technological advances

local

planning

employing web-based portals and applications

applications must consider the long-term running

offer estate management and reporting in real

costs and eventual manner of compliance of

time.

proposals with the MUD Act. Applications must

sustainability, de-carbonisation, and renewables

include a building lifecycle report, to include an

continue to be driven by legislative change and

assessment

and

residents’ expectations. New MUDs can plan

maintenance costs as they would apply on a per

outcomes at design stage by way of energy-saving

residential unit basis. In addition, applications

components. Limited financial resources, and

must demonstrate what measures have been

spatial or title constraints in existing MUDs may

specifically considered effectively to manage and

pose challenges to retrofitting, for example,

reduce costs for the benefit of residents.

installing

When granting permission, planning authorities

infrastructure in common areas.

The

‘Sustainable

authorities

of

Urban

of

Housing:

apartment

long-term

Design

running

New

approaches

electrical

to

environmental

vehicle

charging

are advised to attach appropriate conditions that require

compliance

with

the

MUD

Act,

Further change

establishment of an OMC, and establishment and

Other changes in the landscape in the decade since

ongoing maintenance of a sinking fund.

the arrival of the MUD Act include the Building Control (Amendment) Regulations 2014, guidance

Service providers and consumer protections

in relation to fire safety in MUDs, and the

April 2022 will mark a decade since the Property

Government and Heritage of an independent

Services Regulatory Authority (PSRA) was

working group to examine the issue of defective

established. Readers will be familiar with the

housing.

establishment by the Minister for Housing, Local

supports and oversight established under the system of regulation and licensing. Professional

The MUDs sector is no exception to Heraclitus’s

competence requirements and client money

proposition that change is the only constant in life.

safeguards apply. At the end of 2020 new minimum standards, accompanied by a code of

*Views expressed are those of the author.

SURVEYORS JOURNAL Volume 11, Issue 2, Summer 2021

23


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