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Building Management Contract for the United Kingdom

Building Management Contract Template for England and Wales

A Building Management Contract under English and Welsh law is a comprehensive agreement that establishes the terms and conditions for the professional management of a property or building complex. It outlines the responsibilities of the building manager, including maintenance, security, cleaning, and other essential services, while defining the relationship between the property owner and the management company. The contract incorporates relevant provisions from the Construction Act 1996 and other applicable legislation, ensuring compliance with current building regulations and health and safety requirements.

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What is a Building Management Contract?

The Building Management Contract is essential for property owners seeking professional management services for their buildings. This contract type, governed by English and Welsh law, defines the scope of building management services, payment terms, and performance standards. It's particularly important for ensuring clear accountability, maintaining property value, and compliance with regulatory requirements. The agreement typically includes provisions for maintenance scheduling, emergency responses, staff management, and financial reporting, while incorporating necessary legal protections for all parties involved.

What sections should be included in a Building Management Contract?

1. Parties: Identification and details of the contracting parties including registered addresses and company numbers

2. Background: Context of the agreement, including the property details and purpose of the management arrangement

3. Definitions: Key terms and interpretations used throughout the contract

4. Scope of Services: Detailed description of management services to be provided, including core duties and responsibilities

5. Duration: Contract term, commencement date, and renewal provisions

6. Payment Terms: Fee structure, payment schedule, and mechanisms including VAT treatment

7. Obligations and Responsibilities: Specific duties of both building manager and client, including compliance with relevant legislation

8. Insurance Requirements: Mandatory insurance coverage specifications and minimum coverage amounts

9. Health and Safety: Health and safety obligations including CDM Regulations compliance

10. Termination: Conditions and procedures for contract termination, including notice periods

What sections are optional to include in a Building Management Contract?

1. Performance Standards: Specific KPIs and service levels for complex management requirements

2. Sustainability Requirements: Environmental management obligations and targets

3. Technology Integration: Building management systems and software requirements for smart buildings

4. TUPE Provisions: Transfer of employees provisions where applicable

5. Crisis Management: Specific procedures for handling emergency situations and crisis events

What schedules should be included in a Building Management Contract?

1. Schedule 1 - Property Details: Detailed description of the managed property including floor plans and facilities

2. Schedule 2 - Service Level Agreement: Specific performance metrics, standards and reporting requirements

3. Schedule 3 - Fee Schedule: Detailed breakdown of management fees, additional charges and payment terms

4. Schedule 4 - Staff Requirements: Required staffing levels, qualifications and training requirements

5. Schedule 5 - Maintenance Schedule: Planned preventative maintenance program and frequencies

6. Schedule 6 - Key Performance Indicators: Detailed performance metrics and measurement methodology

7. Appendix A - Emergency Procedures: Emergency response protocols and contact details

8. Appendix B - Insurance Certificates: Copies of required insurance documentation and certificates

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

England and Wales

Cost

Free to use

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