Government takes first legal action against freeholder failing to fix building safety defects

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Government takes first legal action against freeholder failing to fix building safety defects

The owners of Vista Tower, freeholders failing to fix building safety defects, have been given three weeks to take action or face the courts by the DLUHC

Following the promises of the Building Safety Act, the government has launched the first legal action against a freeholder failing to fix building safety defects.

Grey GR Limited Partnership, the freeholder of Vista Tower, a fifteen-storey tower block in Stevenage, has been given 21 days to commit to remediating the tower’s fire safety defects or an application will be made to the courts.

The first step in holding the freeholder to account for not meeting legal requirements

More than 100 leaseholders of Vista Tower have been handed bills and unable to sell, despite unsafe cladding being identified on the building over two years ago.

The freeholder is one of the first to face action by the newly created Recovery Strategy Unit, set up to identify and pursue firms who repeatedly refuse to fix buildings, working closely with other enforcement authorities.

Levelling Up secretary of state, Simon Clarke said:

“The lives of over 100 people living in Vista Tower have been put on hold for over two years whilst they wait for Grey GR to remediate unsafe cladding. Enough is enough.

“This legal action should act as a warning to the rest of industry’s outliers – big and small. Step up, follow your peers and make safe the buildings you own or legal action will be taken against you.”

The DLUHC is considering other penalties for the freeholder failing to fix building safety defects

Whilst the building registered with the Building Safety Fund in 2020, the funding agreement is yet to be signed, meaning the government cannot release any money.

There are at least 23 other buildings registered with the Building Safety Fund that have been unable to progress due to unnecessary delays. The department is examining these cases closely and considering next steps.

The Secretary of State will also consider issuing an application for a Remediation Contribution Order against other entities associated with Grey GR, including Railways Pension Trustee Company Limited (RailPen) and Railtrust Holdings Limited (Railtrust), requiring them to financially contribute to the remediation costs.

Leaseholders are now able to apply for a remedial order

Sophie Bichener, leaseholder in Vista Tower said:

“We thank the Government for helping us, and leaseholders across the country – Vista Tower residents simply want to live in safe and secure homes.

“This action is a step in the right direction for the innocent leaseholders still desperately pleading with their building owners to take responsibility.

“Now the leaseholder protections are in force – it should serve as a warning to those entities still playing games and doing all they can to dodge their legal obligations.”

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