What Is Block Management?

Block management is the professional administration of a residential building containing multiple flats. From service charges and building maintenance to insurance and compliance, discover exactly what block management involves and why every shared building needs it.

Block Management Meaning: A Complete Definition

What is block management? In its simplest form, block management is the process of looking after a residential building that contains more than one flat or unit. The term covers everything involved in keeping the building safe, well-maintained, financially sound, and fully compliant with UK legislation. A block management company - also known as a managing agent - is the professional firm appointed to carry out this work on behalf of the freeholder, a residents management company, or a right to manage company.

The block management meaning extends far beyond simply collecting money from leaseholders. It encompasses financial administration, physical maintenance of the building fabric and communal areas, health and safety compliance, insurance arrangement, contractor management, leaseholder communication, and long-term planning for major works. Every block of flats - whether a small converted house with three units or a large purpose-built development with hundreds of apartments - requires some form of management to function properly.

At Block, we provide comprehensive residential block management and commercial block management services across the UK. Our dedicated property managers ensure every building in our portfolio is managed to the highest professional standard, giving leaseholders and freeholders complete peace of mind.

What Does a Block Do Day-to-Day?

What does a block management company do on a daily basis? The scope of work is substantial and varied. A professional managing agent acts as the operational hub for the building, coordinating between leaseholders, freeholders, contractors, insurers, and regulatory bodies to keep everything running smoothly.

On any given day, a block manager might be reviewing contractor invoices, arranging an emergency repair, chasing service charge arrears, preparing for a fire risk assessment, responding to leaseholder enquiries, or negotiating a buildings insurance renewal. The role requires a broad skill set that combines financial management, technical building knowledge, legal awareness, and strong communication skills.

What does block management involve in practice? The best way to understand is to look at the core services that every well-managed block should receive. These services form the backbone of professional block management and are what leaseholders are paying for through their annual service charge.

Services Included in Block Management

Professional block management covers a wide range of services, all designed to keep the building safe, well-maintained, and financially transparent. The following are the core areas that a reputable block management company will handle as standard.

Service Charge Administration

The managing agent prepares an annual service charge budget based on the building's anticipated costs, issues demands to each leaseholder, collects contributions, manages arrears, and produces independently certified year-end accounts. Transparent financial management is the foundation of effective block management.

Building Maintenance and Repairs

Coordinating both planned preventative maintenance and reactive repairs is a central part of building maintenance. The managing agent arranges regular inspections, procures contractors through competitive tendering, supervises work quality, and ensures the building fabric and communal areas are kept in good condition. A proactive approach to maintenance reduces long-term costs and protects property values.

Buildings Insurance

The managing agent arranges competitive buildings insurance through broker networks, ensures adequate cover is in place for the reinstatement value of the building, and handles all claims on behalf of leaseholders and the freeholder. Insurance is a critical component of block management that protects everyone with an interest in the property.

Health, Safety, and Regulatory Compliance

Compliance is one of the most important aspects of block management. The managing agent ensures the building meets all statutory requirements including fire risk assessments, electrical safety testing, gas safety certificates, asbestos management, legionella risk assessments, and obligations under the Building Safety Act 2022. Failure to maintain compliance can result in enforcement action, fines, and serious safety risks for residents.

Leaseholder Communication

Good communication is essential to effective block management. A professional managing agent provides a dedicated property manager as the primary point of contact, issues regular updates on building matters, operates an online portal for document access and maintenance requests, and facilitates meetings between directors and leaseholders. Clear, responsive communication builds trust and ensures everyone knows how their service charge money is being spent.

Who Needs Block Management?

Any building that contains more than one residential unit and has shared areas or services will benefit from professional block management. The complexity of managing service charges, maintaining communal areas, ensuring compliance, and coordinating contractors makes it impractical for most freeholders or leaseholder groups to manage a building effectively without professional help.

Freeholders who own the freehold of a block of flats and need a professional agent to manage it
Residents management companies whose directors want expert support for their building
Right to manage companies that have taken over management from the freeholder
Developers who need a managing agent for newly built residential blocks
Investors and landlords with leasehold interests in blocks requiring competent management
Mixed-use buildings combining residential and commercial elements

Whether your building is a small converted property or a large purpose-built development, professional block management ensures it is looked after properly. Our team manages blocks of every size and type, providing a tailored service that matches the specific requirements of each building.

How to Choose a Block

Choosing the right block management company is one of the most important decisions for any building. A good managing agent will protect property values, keep service charges fair and transparent, maintain the building to a high standard, and handle all compliance obligations. Here is what to look for when selecting a provider.

Membership of recognised industry bodies such as RICS and ARMA, demonstrating commitment to professional standards

Transparent, fully itemised fee proposals with no hidden commissions on insurance or contractor work

A dedicated, named property manager for your building rather than a generic call-centre service

Clear financial reporting with independently certified service charge accounts

Proactive maintenance planning that prevents expensive reactive repairs and protects building value

Membership of an approved redress scheme such as the Property Redress Scheme for independent dispute resolution

Strong client references from buildings of a similar size and type to yours

A structured complaints procedure and a willingness to be held accountable

If your current managing agent is not meeting these standards, it may be time to switch managing agent. We offer a free, no-obligation review of your current management arrangements and can manage the entire transfer process on your behalf.

For a full breakdown of what you should expect to pay, visit our block management fees page. Our pricing is transparent and competitive, with no hidden charges.

Frequently Asked Questions About Block Management

What is block management?

Block management is the professional administration of a residential building containing multiple flats or units. It covers the financial, operational, and regulatory responsibilities associated with maintaining shared areas, collecting service charges, arranging buildings insurance, coordinating maintenance and repairs, and ensuring compliance with health and safety legislation. Block management is typically carried out by a managing agent appointed by the freeholder, a residents management company, or a right to manage company.

How does block management work?

Block management works by appointing a professional managing agent to handle the day-to-day running of a shared building on behalf of the freeholder or management company. The managing agent prepares an annual service charge budget, collects contributions from leaseholders, arranges buildings insurance, coordinates planned and reactive maintenance, manages contractor relationships, ensures health and safety compliance, and provides regular financial reporting. Leaseholders pay a service charge that covers all shared building costs including the management fee.

What is the difference between block management and property management?

Block management refers specifically to the management of a building containing multiple leasehold flats, focusing on communal areas, shared services, service charge administration, and compliance. Property management is a broader term that can include the management of individual rental properties, commercial premises, and estates. In practice, block management is a specialist discipline within the wider property management sector, requiring specific expertise in leasehold law, the Landlord and Tenant Act 1985, service charge accounting, and building safety regulations.

How much does block management cost?

Block management fees in the UK typically range from around 150 to 500 pounds per unit per year, depending on the size of the building, the scope of services required, and the location of the property. Smaller blocks with fewer than ten units tend to attract higher per-unit costs because fixed administrative overheads are spread across fewer leaseholders. The management fee is usually included as a line item within the annual service charge budget. For a detailed breakdown, visit our block management fees page.

Does a block of flats have to have a management company?

There is no strict legal requirement for every block of flats to have a management company, but the vast majority do. Most leases include provisions requiring the freeholder to maintain the building and common parts, and these obligations are typically delegated to a professional managing agent. Even where leaseholders collectively own the freehold, a management company structure is almost always used to formalise responsibilities. Blocks with four or more units almost always benefit from professional block management to handle the complexity of service charges, compliance, and maintenance.

Can residents change the block management company?

Yes, residents can change their block management company through several routes. The most common is exercising the right to manage under the Commonhold and Leasehold Reform Act 2002, which allows qualifying leaseholders to take over management without proving fault. Alternatively, leaseholders can apply to the First-tier Tribunal for the appointment of a new manager under Section 24 of the Landlord and Tenant Act 1987 if the current managing agent has failed in their duties. In many cases, the directors of a residents management company can also simply serve notice on the existing agent and appoint a new one in accordance with the management agreement.

Need Professional Block Management for Your Building?

Whether you are looking for a managing agent for a new development, want to switch from your current provider, or simply want to understand what block management involves, we are here to help. Contact us for a free, no-obligation consultation.